Oct 12 (Reuters) - Wells Fargo & Co :
* CEO john stumpf says bank's credit quality reflects improving U.S. housing
market
* Executives speaking on earnings conference call
* CFO tim sloan says core loan portfolio has grown for eight consecutive
quarters
* CFO sloan says bank decided to retain $9.8 b in conforming mortgages because
higher yielding than securities
* CFO says bank expects continued nim pressure, but 3q decline 'not
representative' of what bank expects in future
* CFO says bank's litigation reserves include recently announce fha lawsuit