Credit rating agency Moody's has placed six banks, including First Republic, on a negative watch list, which may downgrade their credit ratings.

(Reuters)

[Compilation of Lu Yongshan/Comprehensive Report] The collapse of Silicon Valley Bank (SVB) has spread, not only has the bank and Signature Bank (Signature Bank) been taken over by the Federal Depository Corporation (FDIC), but other regional banks in the United States have also been taken over by the Federal Depository Corporation (FDIC). Investors are selling and facing a liquidity crisis; the credit rating agency Moody's placed six banks including First Republic on a negative watch list on Tuesday, meaning their credit ratings may be downgraded.

In addition to First Republic, Western Alliance, Intrust Financial, UMB Financial, Zions Bancorp and Comerica also made the list, citing some of their funds as uninvested deposits , and there are unrealized investment losses in the asset portfolio; in addition, after Mark Bank was taken over by the FDIC, Moody's downgraded the bank's credit rating to "junk" and then revoked the bank's rating.

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Even though U.S. regulators announced on Sunday that depositors of SVB and Marko Bank could get their deposits back and set up a new loan facility to help banks raise funds and avoid more bank runs, the shares of the above-mentioned banks still plummeted.

San Francisco-based First Republic fell 62 percent on Monday, the most on record; Phoenix-based Western Union fell 47 percent; Dallas-based Union Credit fell 28 percent; UMB Financial in Kansas City fell 15.

Six percent; Salt Lake City-based Zions Bancorp fell 25.

seven%.

However, on Tuesday, the stock prices of these banks rose more than 20%.

Moody's said that a large percentage of First Republic's deposits exceed the FDIC's insurance threshold, making its funding positions more sensitive to fast, large withdrawals.

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