Anxiety continues as the stock price of the First Republic Bank of the United States plunged amid rumors of a crisis.
On the 20th local time, First Republic Bank’s shares on the New York Stock Exchange closed at $12.18, down 47.11% from the previous trading day.
Compared to the closing price of $115 on the 8th, the stock price has decreased by 1/10 in 12 days.
Shares plummeted as international credit rating agency Standard & Poor’s downgraded First Republic Bank’s credit rating by three notches from BB+ to B+, leaving open the possibility of further downgrades.
On the other hand, shares of other provincial banks, which had plummeted like First Republic Bank, mostly rebounded.
Analysts say that this is the result of the possibility of a global financial crisis waning as the Swiss investment bank Credit Suisse, which was in crisis, was acquired by rival UBS.
