KBE Stock Recent News

Gerard Cassidy, RBC Head of U.S. Bank Equity Strategy, joins 'Closing Bell: Overtime' to preview bank earnings.

Exchange-traded funds tracking U.S. banks saw significant outflows since the start of October and ahead of earnings as investors took money off the table fearing elevated interest rates and stricter regulations in the aftermath of the regional bank crisis.

There are signs that bank profitability could be waning.

Regional banking crisis has eased with stabilizing bank deposits and recovery in the KBE ETF. However, rising long-term interest rates may resume pressure on banks' assets and unrealized losses on investment securities. With credit normalizing and a resumption of student loan payments set to pressure consumers, I believe investors may want to avoid banks in the near-term.

U.S.-listed exchange-traded funds that buy bank stocks fell on Tuesday, after Moody's Investors Service late said it put a handful of major U.S. banks on review for a possible downgrade and lowered debt ratings on several small and midsize banks.

It's always nice to see bank stocks leading the market higher

U.S. bank stocks fell and a key regional index hit a near two-week low on Thursday amid lingering worries about the health of the lenders in the aftermath of the crisis in regional banks and ahead of second-quarter results that start next week.

Shares of U.S. banks rose on Tuesday after inflation data backed the view that the Federal Reserve will keep interest rates unchanged on Wednesday while leaving the door open for more hikes later that will further boost interest income.

I do not think our banking crisis is over. Much of this centers on the Fed raising rates too far and too fast, which is causing all kinds of havoc, especially our community and regional banks.

U.S. bank shares, brutalized since the early March collapse of Silicon Valley Bank, may have further to drop before investors need to worry about economic growth, according to Oxford Economics.