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The Guardian - US
The Guardian - US
Business
Lauren Aratani in New York

US regional bank stocks fall amid Wall Street concern over credit markets

a building
The Western Alliance headquarters in downtown Phoenix. Photograph: Patrick T Fallon/AFP/Getty Images

US regional banking stocks fell sharply on Thursday after two banks disclosed issues with bad and fraudulent loans, amplifying concerns on Wall Street around the state of credit markets.

Zions Bancorp announced it had a $50m charge-off over two bad loans from its subsidiary, California Bank & Trust in San Diego. Western Alliance also said it was dealing with a fraudulent borrower.

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