30 minutes ago
Deposit outflows from small banks have slowed, sources say
The movement of deposits from small banks to giants like JPMorgan Chase and Wells Fargo has slowed in recent days, sources told CNBC.
Customers have become increasingly nervous following the closure of Silicon Valley Bank, which sparked a crisis in the banking sector. While the crisis has prompted some to move their deposits to larger banks, which they say are less likely to be hit by a bank run, that trend has slowed in recent days, according to well-known sources.
That gives regulators time to address the strains in the US banking system, as investors and customers alike question whether contagion could spread.
– Hugh’s son
Before an hour
Major indices, bank stocks come out of winners week
Despite choppy trading as investors weighed the latest rate hike and the fate of banks, major indices and US bank stocks ended the week in the green.
The Nasdaq Composite ended the week up 1.7%, leading the major indices higher as investors bet that an end to rate hikes could be good news for growth stocks in the near future. The S&P 500 followed, up 1.4%, while the Dow gained 1.2%.
See grafic…
The three most important indices of the past week
US bank stocks, which have been closely watched since the industry crisis began earlier this month, also had a strong week.
Despite First Republic Bank plummeting more than 45% over the past week, the SPDR S&P Regional Banking ETF (KRE) was still up 0.2% for the week. SPDR S&P Bank ETF (KBE), meanwhile, ended the week up 0.4%.
But despite last week’s gains, both are still down more than 25% since early March.
See grafic…
The Bank ETFs last week
Before an hour