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Pisani: Financials Drag Down Market

The S&P 500 lost about 6 points just after 11am ET, led by financials.

Sen. Chris Dodd and Rep. Barney Frank held a joint press conference at this time; while no news was broken, Dodd said he was hopeful a financial reform bill could become law before Memorial Day.

A more likely cause for the drop was due to Kansas City Federal Reserve President Thomas Hoenig, in a speech at the U.S. Chamber of Commerce released at the same time.

He said that banks will have further losses if the economy recovers more slowly, that it is highly unlikely that U.S. banks have recognized all their financial losses, and that loan performance continues to deteriorate.

He also said the U.S. financial system would be better off with fewer big banks, and urged adoption of some version of the Volcker Rule.

Top Financials, Top Movers:

Citigroup

Bank of America

General Electric*

Wells Fargo

JPMorgan Chase

* General Electric is the parent company of CNBC.

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