Post by account_disabled on Feb 25, 2024 1:20:47 GMT -6
NEW YORK — Shares of New York Community Bancorp fell again on Wednesday, this time by 11%, when its credit rating was downgraded to “junk.” Investors fear the regional lender will suffer the same fate as Silicon Valley Bank last year and go bankrupt in the coming days or weeks. NYCB shares have plunged since a week ago, when the bank reported big losses on commercial real estate loans and indicated it was having trouble digesting its acquisition of Signature Bank, completed last year. The shares have fallen 40% since the balance sheet was published. For many, the banking crisis was supposedly over, but some conservative and independent analysts warned that this was not the reality. This is now confirmed by the situation of NYCB and other US regional banks that have chosen to remain silent, but are currently in an unfavorable situation. NYCB bought most of Signature Bank's assets last year when it fell into bankruptcy in mid-March, following in the footsteps of Silicon Valley Bank. The NYCB called it “garbage” The Signature purchase made NYCB a much larger bank in terms of assets, which by law put it under greater pressure from regulators.
The bank had to cut its dividend and increase its capital and liquidity ratios to meet the requirements of federal regulations. But one of the main causes of its fall is the collapse of sales in the real estate sector for two consecutive years and the impact of the banking crisis on investors, in addition to the debt it had to assume Algeria Mobile Number List from Signature bank. Concerns about an impending bankruptcy are mounting across NYCB's commercial real estate portfolio. The bank reported a loss of $252 million in the fourth quarter, including a provision for credit losses of $552 million, largely tied to the real estate sector. Shares fell 22% on Tuesday. After the market closed, credit rating agency Moody's downgraded the credit rating to "junk." The situation appeared to improve in pre-opening trading on Wednesday, when the bank reported that 72% of its deposits are insured and it has liquidity of $37.3 billion, which exceeds uninsured deposits. But shares resumed their slide after the open. "Despite the downgrade by Moody's, our deposit ratings from Moody's, Fitch and DBRS remain investment grade," said the bank's CEO, Thomas Cangemi.
Moody's downgrade is not expected to have a material impact on our contractual provisions." What Joe Biden's Government does not say is that the banking crisis in the US did not end after it began in 2023, as analysts have warned. There is also no mention of any mortgage crisis when property sales have been falling almost entirely for two consecutive years with the corresponding impact on the construction sector. The NYCB has a large portion of its client base in real estate investments. That's why the alarm bells are ringing, after a week of signs of low confidence on Wall Street.Show me voice share over time by tag. See how traffic changed for each tag Traffic between two time points for each tagged keyword group Case of use: See how traffic changed for each tag between two dates. We have a better view of this in Rank Tracker which will show the evolution over time. Data source: Like above, export data from the Tags report in Rank Tracker. Immediate: Show me how the traffic evolves for each tag. Find which groups of terms have the most potential for improvement Search volume and clicks by tag Case of use: See which term groups have the highest volume compared to the clicks they receive. High overall volume and few clicks mean you have a lot to work on.
The bank had to cut its dividend and increase its capital and liquidity ratios to meet the requirements of federal regulations. But one of the main causes of its fall is the collapse of sales in the real estate sector for two consecutive years and the impact of the banking crisis on investors, in addition to the debt it had to assume Algeria Mobile Number List from Signature bank. Concerns about an impending bankruptcy are mounting across NYCB's commercial real estate portfolio. The bank reported a loss of $252 million in the fourth quarter, including a provision for credit losses of $552 million, largely tied to the real estate sector. Shares fell 22% on Tuesday. After the market closed, credit rating agency Moody's downgraded the credit rating to "junk." The situation appeared to improve in pre-opening trading on Wednesday, when the bank reported that 72% of its deposits are insured and it has liquidity of $37.3 billion, which exceeds uninsured deposits. But shares resumed their slide after the open. "Despite the downgrade by Moody's, our deposit ratings from Moody's, Fitch and DBRS remain investment grade," said the bank's CEO, Thomas Cangemi.
Moody's downgrade is not expected to have a material impact on our contractual provisions." What Joe Biden's Government does not say is that the banking crisis in the US did not end after it began in 2023, as analysts have warned. There is also no mention of any mortgage crisis when property sales have been falling almost entirely for two consecutive years with the corresponding impact on the construction sector. The NYCB has a large portion of its client base in real estate investments. That's why the alarm bells are ringing, after a week of signs of low confidence on Wall Street.Show me voice share over time by tag. See how traffic changed for each tag Traffic between two time points for each tagged keyword group Case of use: See how traffic changed for each tag between two dates. We have a better view of this in Rank Tracker which will show the evolution over time. Data source: Like above, export data from the Tags report in Rank Tracker. Immediate: Show me how the traffic evolves for each tag. Find which groups of terms have the most potential for improvement Search volume and clicks by tag Case of use: See which term groups have the highest volume compared to the clicks they receive. High overall volume and few clicks mean you have a lot to work on.