BofA’s bleak view hits US stocks

US stocks suffered their worst one-day fall in six weeks on Monday as Bank of America rattled investors with a bleak picture of economic conditions in the coming months. BofA’s warning came as the US bank reported a better-than-expected $4.2bn in Q1 earnings, reflecting strong results at recently acquired Merrill Lynch. But investors focused instead on BofA’s swelling provisions for credit losses and its dire prognosis of the US economy. BofA shares fell 24%, contributing to a 4.3% decline in the S&P500.