PacWest Bancorp and other regional-bank stocks fell Tuesday despite no major announcements from the sector, as clouds continued to hang over the group.
PacWest Bancorp
PACW,
moved lower by 4%, outpacing other financial stocks into negative territory, as the broad market equities slipped lower.
On Monday, PacWest stock rose as the bank said its business remains in healthy shape, while it cut its dividend to a penny a share from 25 cents a share to build up its capital reserves.
Earlier, PacWest was the most heavily traded stock in premarket action.
Other regional-bank stocks also fell, as Western Alliance Bancorp
WAL,
retreated by 3.3%, East West Bancorp
EWBC,
dipped by 1.5% and Comerica Inc.
CMA,
fell 1.7%.
The KBW Nasdaq Bank Index
BKX,
is down by 1%, the Financial Select Sector SPDR Fund
XLF,
is down by 0.5% and the SPDR S&P Regional-Banking ETF
KRE,
is down by 1.9%.
PacWest stock is now down 75% in 2023 on the heels of bank failures at Silicon Valley Bank, First Republic Bank and Signature Bank since early March.
