Hundreds of U.S. banks at risk of collapse in high-interest rate environment: report

Hundreds of U.S. banks are at risk of failure following several high-profile bank failures in 2023 and the collapse of Republic First Bank in Philadelphia last week, according to an analysis by Klaros Group. The study shows that small and regional banks are under pressure due to overburdened commercial real estate loans and the current high interest rate environment. 282 of the more than 4,000 financial institutions in the United States are under pressure. "Most of these banks are not insolvent or even close to being insolvent," said Brian Graham, co-founder and partner of Klaros Group. "They are just too stressed and may not really fail in so many ways. But that doesn't mean that communities and consumers won't be hurt by this stress." (Bitcoin.com)