Gokhan Ergocun
17 October 2025•Update: 17 October 2025
ISTANBUL
US stocks ended Thursday in negative territory amid concerns about the health of the country’s banking sector.
The Dow dropped 0.65%, or 301.07 points, to close at 45,952.24.
The Nasdaq was down 0.47%, or 107.54 points, to close at 22,562.54, while the S&P 500 fell 0.63%, or 41.99 points, to 6,629.07.
The Volatility Index (VIX), also known as the "fear index," soared 22.63% to 25.31.
Following announcements by the Zions Bank and Western Alliance Bank on Thursday that they have encountered irregularities in some loans, concerns about banks' loan portfolios increased, and regional bank stocks declined.
Amid worries about troubled loans, regional bank stocks fell sharply, with Zions' shares losing more than 13% and Western Alliance's shares were off about 11%.
Shares of JPMorganChase, one of the country's major investment banks, fell 2.3%, and Jefferies Financial Group's shares were down 10.6%.
Markets tracked developments following US President Donald Trump's threat of additional tariffs on China after it imposed restrictions on exports of rare earth elements, as well as news regarding a government shutdown, now in its 16th day.
The US federal government's budget deficit fell 2% compared to last year to $1.77 trillion in fiscal year 2025.
