PacWest stock plummeted as investors remain worried about the financial sector, a decline which occurred despite Federal Reserve officials assuring market actors hours earlier that the banking system is “sound and resilient.”
First Republic Bank imploded on Monday, weeks after Silicon Valley Bank and Signature Bank similarly collapsed, as account holders with balances above the Federal Deposit Insurance Corporation threshold at the three medium-sized banks rushed to withdraw their funds.
PacWest was among several other regional banks to see stock prices sharply decline earlier this week amid news of the First Republic Bank failure and subsequent sale to JPMorgan Chase.
