Shares of PacWest Bank have erased a decline of as much as 10% in regular trading hours after reporting deposit levels that were in line with estimates.
The bank said deposits were $28.19B compared to $28.53B estimated by analysts. The company noted that deposits had risen by $700m since the end of the quarter.
A big part of the worry in markets today was that deposit outflows at First Republic Bank meant they were widespread elsewhere but this report and others shows that's just not the case. First Republic remains a problem and it sounds pollyanna to say it's isolated but that might be the case.
Still, FRC is a problem that needs to be solved and the market will demand that the White House and regulators take action.
