Stocks - Airlines Rise in Premarket on Bailout; Banks Fall on Earnings

By Geoffrey Smith 

Investing.com -- Stocks in focus in premarket trade on Wednesday, April 15th.

• American Airlines (NASDAQ:AAL) stock rose 6.2% and Delta Air Lines (NYSE:DAL) stock rose 4.5% after the two companies agreed the terms of aid from the U.S. government.
• Both airlines will receive over $5 billion, mostly in the form of grants to cover payroll costs. They’ll be restricted from paying dividends and buying back stock until September 2021.
• JetBlue stock was up 8.2%, while Southwest Airlines (NYSE:LUV) stock was up 3.9%
• Bank of America (NYSE:BAC) stock was down 4.8% after reporting that net income fell 45% to $4 billion in the first quarter. Loan loss provisions rose to $4.8 billion as it braced for a wave of possible defaults due to the Covid-19 pandemic.
• Citigroup (NYSE:C) stock fell 4.1% after it, too, reported a sharp drop in earnings and a spike in provisions against bad loans. Goldman Sachs (NYSE:GS) and PNC Financial (NYSE:PNC), which also reported earnings Wednesday, saw their stock fall 3.6% and 2.5% respectively.
• UnitedHealth (NYSE:UNH) stock rose 0.9% after reporting first-quarter earnings at the top end of expectations.
• Exxon Mobil (NYSE:XOM) stock fell 3.9% and Occidental Petroleum (NYSE:OXY) stock fell 7.9% as crude oil prices fell back to their lows for the year on the back of an International Energy Agency report that warned of continuing acute oversupply for the near future.
• Best Buy   (NYSE:BBY) stock fell 4.4% after it said it will furlough 51,000 workers to conserve cash through the downturn.
• Tesla (NASDAQ:TSLA) stock rose 4.5% to its highest in over a month after a report suggesting a recovery in sales in China in March.
• ASML (NASDAQ:ASML) ADRs were down 2.1% after the Dutch supplier of equipment for making semiconductors reported first-quarter sales and earnings at the bottom end of its revised guidance. The company said it expected to recoup lost demand during the course of the year.