Plunging bank stocks drove Wall Street's main stock indexes lower on Wednesday, as turmoil at Credit Suisse renewed fears of a banking crisis and BlackRock CEO Larry Fink warned 'more shutdowns are coming' after the collapse of Silicon Valley Bank.
S&P 500 Banks Industry Group Index dropped more than 4 percent in morning trading, and the Dow Jones Industrial Average fell more than 450 points, or 1.42 percent
Shares of First Republic, one of the regional banks swept up in contagion fears after the collapse of Silicon Valley Bank, dropped up to 17 percent after the bank's bond rating was downgraded to Junk status by Standard & Poors.
In Europe, shares of Credit Suisse plunged more than 25 percent, hitting a new record low for the second day in a row, after the Swiss bank's largest investor said it could not provide more financial assistance to the lender.
The Big Four trillion-dollar US banks suffered after yesterday's rally, with shares of JPMorgan, Bank of America, Citigroup and Wells Fargo down between 1.9 percent and 4.9 percent in morning trading.
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