Citigroup lead the charge for the banking sector as shares rose higher for that industry. Early reports indicate the  financial institution will release better than expected earnings at the end of the week.  In addition, U.S. bank shares rose higher as reports of record first quarter profits from Wells Fargo boosted expectation and analyst estimates in the next two weeks.  

The New York based lender Citigroup, who had received three U.S. government rescue packages watched as its shares rose 25 percent higher.  The financial giant Bank Of America gained 15 percent and Goldman Sachs added five percent.  The nation’s second biggest home lender, last week reported about three billion in first quarter net income which was up from the previous year.  Apparently, the financial giants are leading the U.S. market recovery. 

Now that the banking sector is stabilizing experts believe the cycle will continue to move upwards. Citigroup, Goldman Sachs and JP Morgan who are all based in New York, are scheduled to release earnings this week. Bank of America, based in Charlotte, North Carolina, and New York’s Morgan Stanley will report next week, along with Wells Fargo. Citigroup and Morgan Stanley are expected to report a loss on a per-share basis, and the four others will probably post a profit, according to analysts’ estimates compiled by Bloomberg. Fears of nationalization have pretty much vanished as it’s becoming clear that the banks are slowly getting back on their feet.