JPMorgan Chase & Co.

Stocks say 'nevermind'; reverse recent losses as banks jump

U.S. stocks climbed Friday as banks made a rapid recovery following a steep fall a day ago. Investors hoped Deutsche Bank and the financial system in general were in better shape than they had feared.

Banks made the biggest gains Friday as Germany's largest bank tried to reassure investors about its financial health. Investors hope Deutsche Bank will be able to negotiate down the massive cost of settling a U.S. investigation into mortgage securities. Energy companies rose as the price of oil continued to move higher, and strong earnings from Costco sent consumer stocks higher.

Deutsche Bank is the largest lender in Germany, and investors are concerned about not only its...

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