National City submitted a regulatory filing this morning stating that the banker expects a third-quarter loss near the high end of its previously forecast range of $130 million to $160 million, thanks to the company's suffering mortgage business. National City incurred charges as it ran into difficulty selling mortgage-backed securities amidst the recent credit-market turmoil. The company noted in its mid-quarter filing with the Securities & Exchange Commission that risk levels are modestly elevated in its non-prime first lien portfolio.
NCC has ticked fractionally higher today after adding 0.8% in Friday's session. The stock has declined sharply since April under the pressure of its bearishly crossed 10-month and 20-month moving averages, but the stock still enjoys plenty of optimism from investors. Just about 4% of NCC's available float has been sold short, and its Schaeffer's put/call open interest ratio of 0.87 is in the lower half of all other such readings taken during the past year.