Monday 02 October 2023 - 8:55:29 am

US Treasury yields rise as bank worries ease

NEW YORK, 27th March, 2023 (WAM) -- Wall Street equities gained and U.S. Treasury yields rose on Monday as investor concerns about the financial system were calmed after First Citizens BancShares (FCNCA.O) said it would take on the deposits and loans of failed Silicon Valley Bank, Reuters reported.

U.S. Treasury yields rose on optimism that stress in the banking sector could be contained, and as the Treasury Department saw soft demand for a sale of two-year notes.

The S&P 500 bank index (.SPXBK), after closing down more than 22% for the month-to-date on Friday, finished up 3% on the day.

In Europe, Deutsche Bank shares (DBKGn.DE) rose 6% after falling sharply on Friday with fears spreading to the United States after the cost of insuring its debt against default jumped.

Hatem Mohamed