Fitch Ratings came up with a report, “Global Contagion Risk Growing from Rising CRE Losses, Led by Office”. By percentage of assets and capital, small U.S. banks have significantly higher CRE concentrations than banks with over $100 billion in assets. This could result in the failure of a moderate number of predominantly smaller banks. Naturally, people begin to worry that the US banking system will be vulnerable.
So far, there has been no bank failure, according to the FDIC.
The performance of regional banks, community banks remain stable. No signs of systematic failure.
There is no need to worry for now. Just monitor, as any prudent investor should.