U.S. regional banks dive as markets fall in correction territory on trade war fears

M&T Bank

04/03/2025 17:16

** Shares of regional U.S. banks dive tracking market-wide selloff in equities due to trade war worries

** US Bancorp USB.N, Fifth Third Bancorp FITB.O, M&T Bank MTB.N, Keycorp KEY.N and Western Alliance WAL.N fell, with Comerica CMA.N leading the declines with a nearly 7% fall

** KBW regional banking index .KRX fell 4.1% to a near two-month low

** Wall Street's main indexes fell into correction course, as investors feared that an escalating trade war between the U.S. and its partners could damage the economy

** Investors are pricing in that the surcharges will fan inflation pressures, dampen demand and eat into corporate profits at a time when recent data has triggered fears of a stalling economy

 (Reporting by Jaiveer Singh Shekhawat in Bengaluru)

 ((JaiveerSingh.Shekhawat@thomsonreuters.com;))