Shares of U.S. regional lenders rise in afternoon trading as Federal Reserve cuts interest rates by 25 bps
Fed also indicates it will steadily lower borrowing costs for the rest of this year Truist Financial (TFC.N) , Huntington Bancshares (HBAN.O) , Regions Financial (RF.N) , M&amp;T Bank (MTB.N) , Comerica (CMA.N) , Fifth Third Bancorp (FITB.O) and Citizens Financial Group (CFG.N) rise between 2% and 3%
Rate cuts can ease deposit costs for regional banks and boost loan demand while cutting the risk of borrower defaults
Regional banks rely more on traditional lending, unlike big banks that have other revenue streams such as investment banking and trading

HBAN

Shares of U.S. regional banks rose by 2% to 3% in afternoon trading following the Federal Reserve's decision to cut interest rates by 25 basis points. The Fed indicated plans to continue lowering borrowing costs throughout the year. This rate cut is expected to reduce deposit costs for regional banks, enhance loan demand, and lower the risk of borrower defaults, benefiting banks that primarily rely on traditional lending.

- Shares of U.S. regional lenders increased as the Federal Reserve cut interest rates by 25 basis points and signaled further reductions for the year.  
- Notable banks like Truist Financial, Huntington Bancshares, and Regions Financial saw rises between 2% and 3%.  
- The rate cuts are expected to lower deposit costs for regional banks, enhance loan demand, and reduce borrower default risks.  

BUZZ-US regional banks rise as Fed cuts rates by 25 bps