Earnings numbers from First Republic Bank after the close of trading on Monday showed just how close it came to collapse. About $100 billion of the $176 billion in deposits at the first fled in the March rout while $30 billion was later added in an emergency effort led by US big banks.
Shares of the company rallied yesterday on a short squeeze or belief that only around $60B in deposits were lost. Shares of the company are down 26% in the pre-market to $11.84.
That's likely to weight on regional banks more broadly and S&P 500 futures are down 21 points or 0.5%.
It's a huge week for earnings and other companies that reported late yesterday or early today are:
- GM +1.7%
- McDonalds +0.8%
- UPS -5.6%
- Coca-Cola +0.1%
- PepsiCo +1.7%
- PKG -6.8%
- Whirlpool +3.0%
- Cleveland-Cliffs -2.3%
Comments on diminishing inflationary pressures from Coca-Cola and McDonald's were constructive on the macro view but haven't helped market sentiment, even with Treasury yields down 10 bps at the front end.
Microsoft and Alphabet are slated to report after the bell.
