US regional banks fall as investors still cautious on sector

PacWest Bancorp

21/07/2023 16:49

** Shares of U.S. regional banks shares fall in afternoon
trading on Friday as investors are still being cautious on the
banking sector
    ** Shares of regional banks Regions Financial Corp  RF.N 
Citizens Financial  CFG.N , Western Alliance Bancorp  WAL.N ,
PacWest Bancorp  PACW.O , Comerica  CMA.N , KeyCorp  KEY.N , PNC
Financial Services  PNC.N , Fifth Third Bancorp  FITB.O  and
Zions Bancorp  ZION.O  rise between ~0.6% and ~5%
    ** "I think that it's certainly a temporary reaction and
this is not an open-and-closed case. So we still think there's a
fair amount of caution in banks and there probably should be,"
Christopher Marinac, Director of research at Janney Montgomery
Scott LLC said
    ** Regional banks have lowered their forecast for interest
income growth in 2023 and warned investors of faltering loan
demands and a rise in deposit costs, in the ongoing earnings
season. 
    ** KBW Regional Banking index  .KRX  is down nearly 1.1%,
its down ~14.6% YTD

 (Reporting by Jaiveer Singh Shekhawat in Bengaluru)
 ((JaiveerSingh.Shekhawat@thomsonreuters.com;))