Shares of regional banks and investment firm Jefferies rebounded one day after experiencing a sharp selloff over bad loans.
Investors shrugged off non-performing loans, signaling that they do not believe poor credit bets were part of a broader crisis lurking on Wall Street.
Western Alliance Bancorp alleged in a filing that a borrower had committed fraud, causing the stock to fall almost 11 percent during the Oct. 16 trading session. The financial institution reaffirmed its guidance and 2025 outlook, which might have trimmed widespread worries.
Zions Bancorp shares dropped about 13 percent after the company revealed that it would suffer a $50 million loss in the third quarter because of bad loans….