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[ad_1] Stocks rebound as Yellen testifies on banks Yellen testifies on Capitol Hill as bank stocks see slight rebound 05:51 Treasury Secretary Janet Yellen will tell America's top banking lobby Tuesday morning that the government has a playbook if other financial institutions, like Silicon Valley Bank, collapse and pose a risk to banking sector. In a speech to the American Bankers Association, Yellen discusses the government's emergency rescue of SVB and Signature Bank 's depositors — and says similar action could be taken in the event of a bank run.  "The steps we took were not focused on aiding specific b

[ad_1] In what is by now a familiar pattern, the fate of another regional lender hangs in the balance as investors bail from the sector following the sudden collapse of three prominent banks in a matter of weeks.  Shares of PacWest Bancorp crumbled after the close of trading on Wednesday, diving 55% to $2.88 amid a report by Bloomberg News that the $44 billion bank is weighing its strategic options, including a possible sale. The market drop followed a 28% plunge in Los Angeles-based PacWest's stock price the previous day.  PacWest, whose shares are down 78% over the last three months, has hired a financial adviser and is also considering a breakup or trying to raise capital, according to Bloomberg. Wall Street has grown increasingly wary of midsize lenders since the March 10 collapse of Silicon Valley Bank  (SVB) and the failure only days later of Signature Bank after depositors rushed to withdraw their money.  As investors soured

[ad_1] A residential neighborhood in Austin, Texas, on Sunday, May 22, 2022. Jordan Vonderhaar | Bloomberg | Getty Images The average rate on the popular 30-year fixed mortgage dropped to 6.57% on Monday, according to Mortgage News Daily . That's down from a rate of 6.76% on Friday and a recent high of 7.05% last Wednesday. Mortgage rates loosely follow the yield on the 10-year Treasury , which fell to a one-month low in response to the failures of Silicon Valley Bank and Signature Bank and the ensuing ripple through the nation's banking sector. In real terms, for a buyer looking at a $500,000 home with a 20% down payment on a 30-year fixed mortgage, the monthly payment this week is $128 less than it was just last week. It is still, however, higher than it was in January. So what does this mean for the spring housing market? In October, rates surged over 7%, and that started the real slowdown in home sales. But rates then started falling in December and were near 6% by t