Why Regional Bank Stocks Are Getting Crushed Friday
The stock market continued to lose ground on Friday, adding to steep losses from Thursday's session. As of 1 p.m. EST, the Nasdaq Composite (NASDAQINDEX: ^IXIC) was leading the way lower by more than 1%, while other major benchmarks had smaller but still significant declines on the day.
Many investors had anticipated that the latest employment report would end up getting the lion's share of attention from the broader stock market. However, regional banks came into the spotlight instead, as investors reacted to the news of one bank voluntarily liquidating while another was seized by the Federal Deposit Insurance Corporation (FDIC). Many bank stocks saw substantial losses as a result.
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Source Fool.com
