Wells Fargo, Other Bank Stocks Rise as Market Pares Losses

Group 1 - Bank stocks experienced an increase, with the KBW bank index rising by 1.6% [1] - Wells Fargo's shares surged by 7.4% after exceeding Wall Street earnings estimates and setting a new target for return on tangible common equity between 17% and 18% [2] - Citigroup's stock also rose by 3.3% after beating Wall Street earnings estimates [2] Group 2 - The asset cap imposed on Wells Fargo by the Federal Reserve was lifted in June, which had been in place for seven years, providing the bank with growth opportunities [2] - CEO Charles Scharf expressed confidence in the company's potential for business growth [2]