March 31, 2009

The heads of JPMorgan Chase & Co. and Bank of America Corp. on Friday indicated that March has not been as good for business as the first two months of the year, underscoring worries on Wall Street about the state of the banking industry.In an interview with CNBC after a meeting at the White House with President Barack Obama, JPMorgan Chief Executive Jamie Dimon said March has been “a little rough.” Bank of America CEO Ken Lewis echoed that sentiment in a separate interview with CNBC.The news sent bank stocks sharply lower in afternoon trading. Bank of America shares dropped 24 cents, or 3.2 percent, to finish at $7.34, while JPMorgan shares lost $1.70, or 5.8 percent, to $27.40.

Just a few weeks ago, word that banks were performing better than expected so far in the quarter helped spark a massive rally that has sent the Dow Jones industrials up 17 percent in three weeks.Investors have remained cautious about the stability of the banking industry, mindful of the problems that still exist. But the initial reports were fodder for a market hungry for a sign that the nation’s biggest banks could be on more solid footing than previously thought.Obama invited the CEOs of the 15 largest U.S. banks to the White House on Friday to discuss the economy and other issues.