
June S&P 500 futures (ESM23) are trending down -0.16% this morning after three major U.S. benchmark indices finished the regular session lower as investors weighed First Republic rescue while bracing for central bank meetings, a deluge of quarterly earnings reports, and crucial U.S. economic data.
In Monday’s trading session, the financial sector was in focus, with shares of JPMorgan Chase & Co (JPM) rising over +2% after the big bank came on top as the winner of a weekend auction for failed regional lender First Republic Bank. JPMorgan acquired about $173 billion of First Republic’s loans, $30 billion of securities, and $92 billion of deposits. JPMorgan CEO Jamie Dimon said the deal would help stabilize the banking system. At the same time, the KBW Nasdaq Regional Banking Index dropped over -2%, with PNC Financial Services Group Inc (PNC) and Citizens Financial Group Inc (CFG) plunging over -6%.