"US Bank Regulators Conduct Health Checks Amid NYCB Stock Rout and Rent-Stabilized Sector Turmoil"

U.S. banking regulators are conducting health checks on regional lenders following New York Community Bancorp's disappointing earnings and dividend cut, with concerns about the health of the sector persisting. Regulators have been inquiring about liquidity, impact on deposit flows, and worries from customers, particularly regarding commercial real estate (CRE) loans. The heightened monitoring includes conversations around every area of operation to ensure that banks are resilient, as smaller banks account for nearly 70% of all CRE loans outstanding.