First Republic Bank expected to be cut again by S&P Global - report

First Republic Bank (NYSE:FRC) is expected to be downgraded by S&P Global again after the ratings firm cut the troubled lender to junk on Wednesday.

S&P will downgrade First Republic's long-term issue credit rating to B+ from BB+ as early as Sunday, according to a Bloomberg report, which cited people familiar.

The move comes as credit ratings firm Moody's Investors Service on Sunday downgraded all long-term ratings and assessments of First Republic (FRC) and may cut them further as the bank faces pressures of deposit outflows and higher-cost funding as the value of its assets decline

The lower credit ratings reflect "the deterioration in the bank's financial profile and the significant challenges First Republic (FRC) faces over the medium term in light of its increased reliance on short-term and higher cost wholesale funding due to deposit outflows," Moody's said.

More on the recent banking shock and First Republic:

• Warren Buffett talking to Biden administration on banking crisis.
• On Friday, First Republic (FRC) stock extended its decline after talks of private share sales were reported
• First Republic (FRC) stock slumped after suspending dividend
• First Republic stock gained after getting $30B in deposits from banks.
• Also last week, the bank was reported to be considering strategic options, including a potential sale.