US regional banks jump on investor hope for downturn in inflation

PacWest Bancorp

11/07/2023 16:06

** Shares of U.S. regional banks jump as investors remain
hopeful that a downturn in inflation numbers could support a
sooner-than-expected end to the Federal Reserve's rate hike
cycle.  
    ** 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 ~1% and ~4%
    ** The latest data, due on Wednesday, is expected to show
consumer prices cooled on an annual basis in June, which could
influence bets on another rate hike after the July meeting.  .N 
    ** Several Fed officials said on Monday that additional
interest rate hikes are needed to bring down inflation, but the
end to the U.S. central bank's current monetary policy
tightening cycle is getting close
    ** KBW Regional Banking index  .KRX  is up nearly 1.05%
    ** KBW Regional Banking Index is down ~22% YTD 
    

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