Bank stocks rallied on Wednesday, regaining more than they had lost the previous day. The Standard & Poor's bank stock index rose 2.6%, offsetting Tuesday's 1.9% decline.

Analysts said release of the central bank's Beige Book report, on which the Federal Reserve bases its monetary policy, indicated there should be little concern about inflation, reducing fears the Federal Reserve will raise rates.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.