The FTSE 100 is down today primarily due to renewed concerns about the US regional banking sector. Specific troubles at two American regional banks—Zions Bancorporation, which announced a $50 million charge-off related to problematic commercial loans, and Western Alliance Bancorp, which disclosed pursuing legal action over a fraudulent borrower—have reignited fears reminiscent of the 2023 regional banking crisis. This has triggered a global sell-off in financial stocks and a flight to safe-haven assets like gold, spreading volatility to the UK market. In London, major banks such as Barclays and Standard Chartered have fallen sharply, with the banking sector shedding nearly 3%. Additionally, oil majors like BP and Shell have declined, weighed down by the risk-off sentiment and falling oil prices. The FTSE 100 dropped about 1.3%, hitting its lowest level in two weeks amid this wave of market anxiety. The episode highlights the interconnectedness of global finance as concerns from a regional US banking issue ripple through international markets, causing investor jitters and broader credit market unease. Investors are watching closely for further disclosures or signs of a wider credit crunch, while regulatory bodies may come under pressure to act to contain contagion. The FTSE 100's decline also reflects broader concerns over economic and monetary policy outlooks in an environment already marked by elevated interest rates and geopolitical uncertainty.