Bank stocks’ recovery from their swoon earlier this year took a step back this week, with one prominent analyst cautioning that US lenders face a series of regulatory headwinds over the next few months. After rallying for the better part of a month since hitting their lowest level in more than two years, banking shares once again find themselves under pressure, with the Federal Reserve eyeing sharply higher capital requirements for the biggest lenders and results from next week’s annual Fed...

In the span of just three days, short sellers minted more than $2 billion in paper profits as the collapse of Silicon Valley Bank set off a cascade of selling across the stocks of regional lenders. The precise amount of the mark-to-market gains came to $2.29 billion from Thursday to Monday, according to data compiled by S3 Partners. It was a frenetic stretch that saw the SPDR S&P Regional Banking ETF (KRE) — which includes SVB Financial Group — plunge the most since 2020. The failure of...

One of Cathie Wood’s funds sold virtually all of its shares in Silvergate Capital Corp. after the cryptocurrency-focused bank announced that it was forced to sell assets at a steep loss as customers pulled out most of their deposits during the fourth quarter. Her ARK Fintech Innovation exchange-traded fund unloaded roughly 404,000 shares of Silvergate on Thursday, cutting the ETF’s holdings by more than 99%, according to data compiled by Bloomberg. The fund’s remaining holdings, which amount...

Crypto bank Silvergate Capital Corp. was asked by three US Senators to release all records related to transfers of funds for the collapsed FTX empire of Sam Bankman-Fried. “Your bank’s involvement in the transfer of FTX customer funds to Alameda reveals what appears to be an egregious failure of your bank’s responsibility to monitor for and report suspicious financial activity carried out by its clients,” Senators Elizabeth Warren, Roger Marshall and John Kennedy wrote in a letter released...