Bank of America CEO Brian Moynihan, defending his leadership of the nation's biggest bank, said he would not resign and would not sell the Merrill Lynch brokerage business to raise capital.
"I think we’re doing the right thing," he told CNBC Tuesday, a day before a conference call with a major investor. "I think the management team is doing the right thing. We continue to drive the business. The franchise continues to perform. We built the capital base and we’ll continue to do that."
Bank of America shares rebounded Tuesday after plunging 20 percent the day before when financial analyst Mike Mayo downgraded the shares, citing the need for the firm to raise capital to cover mortgage-related settlements.
Moynihan said the bank has increased its consumer business and has cut costs in order to raise capital, including selling off 23 noncore businesses over the last six quarters. But Merrill Lynch won't be touched, he said.