Regional US banks, from Nils Poertner
As a European, I am asking: Are US regional banks in trouble (maybe even some larger banks - incl Investment banks). Dodgy consumer loans, then those silly "AI-related" loans? Am agnostic here - I suspect the typical analyst from JPM down the road won't enlighten us here.
Paul O'Leary comments:
No. Looks like over-reaction to a couple credit blips. Then algos pile on and observers who don’t follow the sector conjure up doom scenarios. Zion Bancorp - the main sinner, lost $1B in market cap for a $50mm write down.
Nils Poertner responds:
Hear you, Paul. If enough people would start to worry now, I would worry less (let us see).
Cagdas Tuna adds:
We are at a level any reaction will be exaggerated. If market adds $200bln to NVDA market cap with additional $1blnn revenue then $50m loss will have the same effect on a smaller company's share.