- US stocks had their worst day in two weeks as a rout in bank shares gained traction amid fears that pockets of trouble in the sector could portend larger problems. Treasuries recovered.
- The S&P 500 fell to its lowest level since January 19, with financial companies falling more than 4%. Regional lenders were included in the KBW Bank Index, which fell 7.7%. After Silvergate Capital went bankrupt overnight, banks came under fire in Washington. Following a stock sale to shore up losses. Cryptocurrencies slid with Bitcoin falling the most since November amid Silvergate’s meltdown.
- Stocks lost early session gains after data on Thursday showed that weekly jobless claims increased to 211,000 in the week ending March 4, exceeding expectations of 195,000 and marking the first time claims exceeded 200,000 since early January.
- The figures set the stage for Friday's monthly jobs report, with even slightly better-than-expected figures expected to cement bets on a larger hike at the Fed's March 21-22 meeting. Economists predict a 225,000 increase in February payrolls, roughly half of January's record pace, but a figure in that range would confirm the US economy is still adding jobs at a rapid pace. A softer-than-expected number could reduce bets on a half-point increase in March and shift expectations back to a quarter-point increase.
