New York Community Bancorp (NYSE:NYCB) shares climbed on Monday after executives said they were buying stock.
What Happened: NYCB is enjoying some respite as shares rallied 7% Monday, adding to gains notched up on Friday when company executives disclosed they had bought stock in the bank.
Regulatory filings with the U.S. Securities and Exchange Commission indicated they had purchased around $850,000 of stock.
Last week, NYCB shares tumbled 38% as the lender’s exposure to the sector forced it to increase its reserves. The development underscored stresses in the commercial real estate (CRE) market.
The company also said it was looking into some of its loans in its CRE portfolio.
Overall, the banking industry holds around $2.7 trillion in commercial property debt. With interest rates still at decades highs, it’s becoming more difficult for owners and developers to service.
“Already in play is nearly US$900 billion in loans set to mature over the next two ...