Stocks Up After 15 Regional Banks Get Bailout $$$

Government cash for everybody!

Bloomberg: U.S. stocks gained as regional banks rallied after receiving $31 billion from the government, overshadowing concern the economic outlook is worsening.

Fifth Third Bancorp jumped 17 per cent, leading regional lenders in the Standard & Poor’s 500 Index to a 6.1 per cent advance, as the Treasury doled out cash as part of its package to shore up the financial system. Verizon Communications Inc. jumped 11 per cent following better-than-estimated sales. The U.S. market escaped a global sell-off that sent France’s benchmark index down 4 per cent and Hong Kong’s down 13 per cent.

The Standard & Poor’s 500 Index increased 4.63 points, or 0.5 per cent, to 881.4 at 1:11 p.m. in New York. The Dow Jones Industrial Average added 110.87, or 1.3 per cent, to 8,489.82. The Nasdaq Composite Index climbed 2.17, or 0.1 per cent, to 1,554.2.

From the Washington Post and Reuters here are the 15 regional banks who got the loot:

  1. SunTrust (GA) $3.5 billion
  2. Capital One (VA) $3.55 billion
  3. KeyCorp (OH) $2.5 billion
  4. City National (CA) $395 million
  5. First Niagara (NY) $186 million
  6. First Horizon (TN) $866 million
  7. Washington Federal (WA) $200 million
  8. Valley National (NJ) $330 million
  9. Northern Trust (IL) $1.5 billion
  10. PNC Financial (PA) $7.7 billion
  11. Regions Financial (AL) $3.5 billion
  12. United Commercial (CA) $298 million
  13. Fifth Third (OH) $3.4 billion
  14. Huntington (OH) $1.4 billion
  15. Comerica Inc. (TX) $2.25 billion   

I’ve seen different listings of who is on the list and many of them don’t add up to fifteen. I’m also seeing State Street ($2.0 billion) included. This list of banks getting some Treasury cash just keeps growing.

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