Published: February 7, 2024 at 6:37am ET
New York Community Bancorp Corp. NYCB sought to reassure investors Wednesday, saying its total deposits have increased over the past few weeks and that liquidity is “adequate.” The comments came after Moody’s Investors Service downgraded the bank’s credit rating to speculative grade, or “junk,” citing financial, risk management and governance issues. The stock fell 7.9% in pre-market trading, but was down as much as 16.7% in after-hours trading on Tuesday following the Moody’s downgrade. “Despite the downgrade by Moody’s, our deposit ratings from Moody’s, Fitch and DBRS remain investment grade. Moody’s…
New York Community Bancorp, Inc.
new york cb
On Wednesday, it sought to reassure investors, saying total deposits have increased over the past few weeks and liquidity is “sufficient.” The comments came after Moody’s Investors Service downgraded the bank’s credit rating to speculative grade, or “junk,” citing financial, risk management and governance issues. The stock fell 7.9% in pre-market trading, but was down as much as 16.7% in after-hours trading on Tuesday following the Moody’s downgrade. “Despite the downgrade by Moody’s, our deposit ratings from Moody’s, Fitch and DBRS remain investment grade. We do not expect the Moody’s downgrade to have a material impact on our contractual arrangements,” Thomas said. – CEO Kangemi said. The bank had $83 billion in total deposits as of Feb. 5, up from $81.4 billion as of Dec. 31. The bank also announced total liquidity of $37.3 billion, more than $22.9 billion in uninsured deposits, and a coverage ratio of 163. %. Cash on the balance sheet was $17 billion.Stocks have fallen 56.3% in the past three months through Tuesday, with the S&P 500 index down 56.3% over the past three months through Tuesday.
SPX
It rose by 13.2%.
