Understanding NYCB’s Plunge, and Its Rescue Deal: QuickTake

Every banking crisis has winners and losers. When a string of regional banks melted down in March 2023, New York Community Bancorp looked like one of those winners, picking up parts of Signature Bank after it was shut down. But a year later, NYCB needed assistance of its own: Its market value fell by about two-thirds before a group of investors led by former US Treasury Secretary Steven Mnuchin stepped in to inject about $1 billion of capital into the firm. For now, at least, investors seem assured that NYCB’s troubles are primarily its own, given its rapid expansion and ...