{"id":54641,"date":"2025-10-16T13:09:13","date_gmt":"2025-10-16T17:09:13","guid":{"rendered":"https:\/\/stockmarketwatch.com\/stock-market-news\/regional-banks-under-pressure-as-zions-reports-charge-off-fed-cut-expectations-rise\/54641\/"},"modified":"2025-10-16T13:09:13","modified_gmt":"2025-10-16T17:09:13","slug":"regional-banks-under-pressure-as-zions-reports-charge-off-fed-cut-expectations-rise","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/regional-banks-under-pressure-as-zions-reports-charge-off-fed-cut-expectations-rise\/54641\/","title":{"rendered":"Regional Banks Under Pressure as Zions Reports Charge-Off; Fed Cut Expectations Rise"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/regional-banks-under-pressure-as-zions-reports-charge-off-fed-cut-expectations-rise\/54641\/#Key_Takeaways\" >Key Takeaways<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/regional-banks-under-pressure-as-zions-reports-charge-off-fed-cut-expectations-rise\/54641\/#Regional_Banks_Face_Renewed_Scrutiny_Amid_Zions_Charge-Off\" >Regional Banks Face Renewed Scrutiny Amid Zions&#39; Charge-Off<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/regional-banks-under-pressure-as-zions-reports-charge-off-fed-cut-expectations-rise\/54641\/#Fed_Rate_Cut_Expectations_Solidify_for_2025\" >Fed Rate Cut Expectations Solidify for 2025<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/regional-banks-under-pressure-as-zions-reports-charge-off-fed-cut-expectations-rise\/54641\/#Trump_to_Propose_IVF_Accessibility_Measures\" >Trump to Propose IVF Accessibility Measures<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/regional-banks-under-pressure-as-zions-reports-charge-off-fed-cut-expectations-rise\/54641\/#Gold_Smuggling_Rises_in_India_Amid_Price_Spikes\" >Gold Smuggling Rises in India Amid Price Spikes<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"#\" data-href=\"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/regional-banks-under-pressure-as-zions-reports-charge-off-fed-cut-expectations-rise\/54641\/#Senate_Leader_Thune_Eyes_Trade_Sanctions_Legislation\" >Senate Leader Thune Eyes Trade Sanctions Legislation<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Key_Takeaways\"><\/span>Key Takeaways<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li><strong>U.S. regional bank stocks<\/strong> experienced significant declines, with the sector falling <strong>6%<\/strong> over two days, following <strong>Zions Bancorporation&#39;s (<a href=\"\/stock\/ZION\">ZION<\/a>)<\/strong> disclosure of a <strong>$50 million<\/strong> commercial real estate (CRE) charge-off and accompanying fraud allegations, which sent its shares down as much as <strong>9%<\/strong>.<\/li>\n<li><strong>Financial markets<\/strong> are now fully pricing in the expectation of <strong>two more Federal Reserve interest rate cuts<\/strong> before the end of <strong>2025<\/strong>, signaling a strong belief in further monetary policy easing.<\/li>\n<li>Former President <strong>Donald Trump<\/strong> is slated to announce a proposal today from the White House aimed at increasing the accessibility of <strong>In Vitro Fertilization (IVF)<\/strong>, building on previous executive orders and campaign pledges.<\/li>\n<li><strong><a href=\"https:\/\/stockmarketwatch.com\/metal\/gold\" data-internallinksmanager029f6b8e52c=\"4\" title=\"gold price today\">Gold<\/a> smuggling<\/strong> has reportedly surged in <strong>India<\/strong>, driven by a sharp increase in gold prices, which hit a record <strong>128,395 rupees per 10 grams<\/strong> today, ahead of the country&#39;s festive season.<\/li>\n<li>Senate Majority Leader <strong>John Thune<\/strong> is preparing to advance legislation that would impose <strong>sanctions<\/strong> on nations engaging in specific trade activities, with the bill potentially including <strong>500% tariffs<\/strong> on imports from countries supporting Russia.<\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Regional_Banks_Face_Renewed_Scrutiny_Amid_Zions_Charge-Off\"><\/span>Regional Banks Face Renewed Scrutiny Amid Zions&#39; Charge-Off<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The U.S. regional banking sector experienced notable turbulence today, with <strong>regional bank stocks<\/strong> collectively dropping <strong>6%<\/strong> over the past two days. This downturn was largely catalyzed by developments concerning <strong>Zions Bancorporation (<a href=\"\/stock\/ZION\">ZION<\/a>)<\/strong>. The Salt Lake City-based bank disclosed a <strong>$50 million<\/strong> charge-off in the third quarter of 2025 on two commercial and industrial (C&amp;I) loans extended by its California Bank &amp; Trust division, alongside allegations of fraud.<\/p>\n<p>Shares of <strong>Zions Bancorporation (<a href=\"\/stock\/ZION\">ZION<\/a>)<\/strong> fell as much as <strong>8.8%<\/strong> following the news, highlighting <em>investor sensitivity<\/em> to asset quality concerns within the regional banking space. The charge-off, tied to legal disputes over collateral and borrower insolvency, has reignited broader worries about the health of commercial real estate portfolios held by regional lenders. The broader regional banking sector is facing renewed investor scrutiny over potential hidden credit risks.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Fed_Rate_Cut_Expectations_Solidify_for_2025\"><\/span>Fed Rate Cut Expectations Solidify for 2025<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Market participants are increasingly confident in the Federal Reserve&#39;s path toward monetary easing. Traders are now <em>fully pricing in<\/em> the likelihood of <strong>two additional interest rate cuts<\/strong> by the central bank before the close of <strong>2025<\/strong>. This consensus reflects expectations that the Fed will continue to lower borrowing costs to support economic growth.<\/p>\n<p>This follows a <strong>25 basis point<\/strong> interest rate cut at the Fed&#39;s recent September meeting. J.P. Morgan Global Research also anticipates two more cuts in 2025, aligning with market sentiment. Federal Open Market Committee (FOMC) projections from September 2025 suggest the federal funds rate could settle around <strong>3.6%<\/strong> by year-end.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Trump_to_Propose_IVF_Accessibility_Measures\"><\/span>Trump to Propose IVF Accessibility Measures<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>In political news, former President <strong>Donald Trump<\/strong> is scheduled to make an announcement today from the White House regarding <strong>In Vitro Fertilization (IVF)<\/strong>. His proposal aims to make IVF treatments more accessible, building on previous executive orders from February 2025 that sought to study ways to expand access and reduce costs.<\/p>\n<p>Trump has previously pledged that, if re-elected, IVF would be free, covered by insurance companies or the government. The costly procedure, which can range from <strong>$12,000 to $25,000 per cycle<\/strong>, has become a significant talking point amid a declining U.S. fertility rate and past legal challenges to embryo status.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Gold_Smuggling_Rises_in_India_Amid_Price_Spikes\"><\/span>Gold Smuggling Rises in India Amid Price Spikes<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Across international markets, <strong>India<\/strong> is reportedly seeing a surge in <strong>gold smuggling<\/strong>. This increase is attributed to a recent spike in gold prices, which hit a record <strong>128,395 rupees per 10 grams<\/strong> on Thursday, marking a <strong>67% rise<\/strong> this year. The price surge is occurring in anticipation of the country&#39;s major festival season, including Dhanteras and Diwali.<\/p>\n<p>The high prices make illicit trade highly profitable, with smugglers&#39; margins potentially exceeding <strong>1.15 million rupees per kilogram<\/strong> by evading a <strong>6% import duty<\/strong> and <strong>3% local sales tax<\/strong>. Indian dealers are currently quoting premiums of up to <strong>$25 per ounce<\/strong> over official domestic prices, the highest in over a decade, further incentivizing smuggling.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Senate_Leader_Thune_Eyes_Trade_Sanctions_Legislation\"><\/span>Senate Leader Thune Eyes Trade Sanctions Legislation<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>On Capitol Hill, Senate Majority Leader <strong>John Thune<\/strong> is preparing to bring forward legislation for a vote that would impose <strong>sanctions<\/strong> on countries engaged in specific trade practices. The proposed bill, co-sponsored by Senators Lindsey Graham and Richard Blumenthal, is aimed at nations that help prop up Russia&#39;s war machine by purchasing its oil and gas, potentially including China, India, and Brazil. The legislation could impose severe measures, such as <strong>500% tariffs<\/strong> on imports from these countries. Thune is coordinating with the White House on the timing of the vote, as President Trump has indicated he might pursue similar actions independently.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Key Takeaways U.S. regional bank stocks experienced significant declines, with the sector falling 6% over two days, following Zions Bancorporation&#39;s [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":50383,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"rank_math_schema_Article":[],"rank_math_focus_keyword":[],"rank_math_description":[],"financial_data_references":[],"stock_symbols_mentioned":[],"footnotes":""},"categories":[5012],"tags":[7957,1684,10146,3710,12835,3880,12836,4086,12837,4222,12838,4945,5024,5031,5213],"class_list":["post-54641","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-breaking-news","tag-regional-banks","tag-gold","tag-commercial-real-estate","tag-federal-reserve","tag-zions-bancorporation","tag-fomc","tag-ivf","tag-india","tag-zion-stock-zion","tag-interest-rates","tag-cre","tag-monetary-policy","tag-trade","tag-us-politics","tag-sanctions"],"_links":{"self":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/posts\/54641","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/comments?post=54641"}],"version-history":[{"count":0,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/posts\/54641\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/media\/50383"}],"wp:attachment":[{"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/media?parent=54641"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/categories?post=54641"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/wp-json\/wp\/v2\/tags?post=54641"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}