PacWest Powers Regional-Bank Rally, Easing Some of the Pain
- Shares of PacWest have their biggest one-day gain ever
- Broader KBW bank indexes share in Friday’s turnaround
PacWest Bancorp ended the week with a bang, leading a rebound of US regional-banking stocks after a bruising week of losses, amid signals that some of the selling has been overdone.
PacWest’s shares soared almost 82% Friday, their biggest one-day gain ever, after multiple trading pauses for volatility, while Western Alliance Bancorp rose 49%. Charles Schwab Corp., whose massive banking unit has been a source of investor concern, added almost 4% after an update showed outflows slowed for a third month. Other lenders that had been caught in the downdraft regained some lost ground, too, with Zions Bancorp up 19% and Comerica Inc. climbing nearly 17%.