Yellen to bank CEOs: that more mergers may be necessary

US Treasury Secretary Janet Yellen told CEOs of the largest US banks that more mergers may be necessary after a series of bank failures, according to CNN. The meeting with more than two dozen executives convened by the Bank Policy Institute came as the banking sector seeks to shake off the turmoil that lasted several weeks over the sudden failure of the Silicon Valley bank that led to regulators taking over two other failing institutions and propping up the uninsured.

US Treasury yields for two years initially fell by about 11 basis points after the report, while yields for 10-year bonds fell by about five basis points. Regional bank stocks also declined, as the KBW regional index of banks fell by 2.8%.