US regional banks begin to tilt lower, hurting sentiment | Forexlive

Eyes are on the KRE regional bank ETF as markets wobble in the start of the new quarter. It’s down 1.4% and the weakness has spread to other markets.

At this point, I don’t see a big risk of another banking rout as deposit outflows have likely stabilized. The weakness then could be about the crippling effects of what’s happened already, along with (justified) worries about more regulation.

The US might come out of this with some zombie banks, including Metropolitian Bank, which is down 11.4% today and is worst among the laggards.