US bank crisis returns to haunt investors
|Central bank rate hikes have taken a back seat to the renewed crisis in US bank stocks, which has prompted additional losses in stocks today, says Chris Beauchamp, chief market analyst at online trading platform IG.
Stocks take a fresh dive as banking crisis returns
“The Fed and the ECB might go on merrily hiking rates, but the renewed crisis in US regional banks is the main reason for the firmly ‘risk-off’ tone to today’s session. Other US banks are coming under heavy pressure, threatening once again to upend the stability of the US financial system less than a day after Jerome Powell pronounced it healthy. “
Volatility surge catches investors napping
“Just a week ago the Vix’s low level was a cause for comment, and right on cue the volatility index has surged. Crashes in oil and regional bank stocks are driving the flight to safety trade across the globe, and unsurprisingly worries about the banking system mean that gold is in high demand once again.”
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