Shares of Charles Schwab, a major U.S. brokerage firm, experienced their worst day ever on March 13, 2023, with a drop of over 10%.
The drop in Schwab's shares is part of a wider decline in financial stocks as fears of a banking crisis deepen.
The fears are driven by concerns about the health of the global economy, rising inflation, and the potential for a wave of loan defaults.
The Federal Reserve's recent decision to raise interest rates to combat inflation has also contributed to the sell-off in financial stocks.
Other major banks and financial institutions, including JPMorgan, Goldman Sachs, and Wells Fargo, also saw significant drops in their stock prices.
The sell-off in financial stocks has led to concerns about the broader impact on the stock market and the economy as a whole.
Some analysts believe that the recent declines in financial stocks are part of a larger trend of market volatility and uncertainty.
The banking crisis fears come as investors are also grappling with a number of other geopolitical risks, including tensions between major global powers and the ongoing COVID-19 pandemic.
Despite the market turbulence, some analysts remain optimistic about the longer-term prospects for the economy and the stock market.
Investors are advised to stay informed and monitor market developments closely, while also focusing on maintaining a diversified portfolio and sticking to a long-term investment strategy.