Today, there were significant drops in the stocks of regional banks in the US.
Particularly, PacWest Bank ($PACW) and Western Alliance Bank ($WAL) drew attention with their major drops.
In the last 24 hours, Western Alliance Bank ($WAL) stocks experienced a drop of approximately 65%.
After the drop, stock trading for Western Alliance Bank ($WAL) was halted four times within 20 minutes.
Following that, there was also a 62% drop in the stocks of PacWest Bank ($PACW).
Similarly, stock trading for PacWest Bank ($PACW) was halted eight times after the drop.
PacWest Bank and Western Alliance Bank are trying to find buyers amid the drop in their stock prices.
This event, along with other regional banks potentially seeking sales or mergers, has further increased the panic in the market and stock prices continue to fall relentlessly for all banks. PacWest Bank ($PACW) and Western Alliance Bank ($WAL) have also announced that they are conducting research to find buyers.
According to Financial Times, Western Alliance Bank ($WAL) has hired advisors for a potential sale. For example, while Western Alliance Bank was worth $10 billion at the beginning of the year, it is now only worth $1.7 billion.
This situation highlights the magnitude of the crisis in the banking sector in the US.
Today, many regional bank stocks in the US fell almost 50%. First Horizon Bank ($FHN) announced the cancellation of its merger with TD Bank due to “factors created by regulatory agencies,” increasing fears that other banks may face a similar fate.
These events have caused deep concern in the US banking sector. It remains uncertain how regulatory agencies in the US will intervene in this situation.
Experts suggest that regulatory agencies need to prepare an urgent plan to intervene in this situation and provide transparent information about the financial health of the banks.
Investors are wondering whether all these events will have positive effects on Gold and Bitcoin.