Bank stocks jump after Fed's Barr announces early resignation from regulatory job

Banc of California

06/01/2025 17:10

** U.S. bank stocks jump with the S&P 500 Banks Index
 .SPXBK , which tracks large-cap U.S. lenders, last up ~1.85%;
KBW Regional Banking Index  .KRX  also trading ~2% higher 
    ** Michael Barr, the Fed's top regulatory official, says he
plans to step down from his post on Feb. 28, avoiding a
potentially messy legal fight with President-elect Donald Trump
over his future at the U.S. central bank 
    ** The central bank says in a statement it would take up no
major rulemaking until a successor to the regulatory role is
confirmed
    ** Barr's exit clears the way for Trump, who will be sworn
in on Jan. 20, to appoint all new bank regulators for the U.S.
government
    ** U.S. lenders are hoping for an easier regulatory
landscape under the new Trump administration  
    ** Major U.S. banks JPMorgan Chase  JPM.N , Wells Fargo
 WFC.N , Goldman Sachs  GS.N , Morgan Stanley  MS.N , Citigroup
 C.N  and Bank of America  BAC.N  up between 1.2% and 3.8% 
    ** Regional banks Western Alliance  WAL.N , Banc of
California  BANC.N  and Customers Bancorp  CUBI.N  were last up
between 3.9% and 2.9% 

 (Reporting by Manya Saini in Bengaluru)
 ((Manya.Saini@thomsonreuters.com))