This article was published 3 years ago. Some details may no longer reflect current market conditions or recent developments. If you spot anything that needs an update, contact us.
First Republic Bank stock halted amidst plunge: is this Bitcoin fault as well?
First Republic Bank shares plummet by over 25% as deposits worth over $100B flee
Quick Take
- First Republic Bank shares plunged during the opening bell of today's trading session, 29% down.
- As banking risks stayed high, First Republic Bank saw $100 billion in deposit outflows.
- It seems First Republic Bank is being kept on life support as they received $30 billion from the largest lenders on Wall Street.
- The bank's deposits fell by 40% in 22 days; the decline could have been as big as 57% if not for the rescue package.
- Furthermore, the bank expects to reduce its headcount by 20-25% in the next two months.
- The opinion was that the banking crisis was over. However, regional bank stocks (KRE) are trading at year-to-date lows.
- Bitcoin is up over 35% from the start of the banking collapse back in mid-march. Could another nose dive in the banking sector spur another rally for Bitcoin?
Insight Alpha
Stablecoins could face yield compression after Fed’s rate cut
Stablecoins could lose their yield advantage as Fed easing begins.
Insight Bitcoin
Bitcoin jumps to $113k as US producer prices shock with surprise August drop
Ethereum climbs above $4370 and stocks rally as traders bet on Fed rate cuts.
Insight Bitcoin
New economic data rejects Trump’s 350bps rate cut dream as Bitcoin falls while stocks climb
Fed weighs modest 25bps move on sticky inflation as US services prices stuck at elevated levels.