Why First Republic Bank Shares Are Sliding Premarket Today

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First Republic Bank FRC shares were pulling back in premarket on Monday.

The negative sentiment could be traced back to a filing by the San Francisco, California-based regional bank on Friday in which it said its board has decided to suspend dividend payments on all series of preferred shares.

The company said the proposed move was taken as a “measure of prudent oversight.”

Reacting to the development, Ross Gerber of Gerber Kawasaki Wealth and Management said, " This could be the next shoe to drop. Unfortunately."

After the collapse of Silicon Valley Bank that triggered deposit outflows from regional banks, 11 banks led by JPMorgan Chase & Co. JPM advanced loans, aggregating to $30 billion to bail out First Republic.

In premarket trading, First Republic shares fell 2.21% to $13.72, according to Benzinga Pro data.

See Also: Best Financial Services Stocks Right Now

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