Regional Bank Stocks Suffer Broad, Sharp Selloff
Regional bank stocks were pummeled Tuesday, as investors reset expectations of the benefits of rising interest rates and of any potential boost from President Donald Trump's fiscal plan. The SPDR Regional Banking ETF (KRE) tumbled 5.2% toward the lowest close since Nov. 30, with all 99 of its components trading lower by at least 2%. Seven of the 10 biggest one-day percentage losers in the S&P 500 were KRE components. Among the biggest decliners on Tuesday, shares of California-based Pacific Premier Bancorp Inc. plunged 8.8%, of Arkansas's Bank of the Ozarks Inc. shed 7.6% and of South Dakota's Great Western Bancorp Inc. slumped 7.4%. The best performer was Massachusetts-based Bekrshire Hills Bancorp Inc.'s stock , which lost 2.0%. The KRE has now lost 4.8% year to date, while the S&P 500 has gained 5%.
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