1. Barclays' chairman felt Jes Staley's Epstein ties weren't board-worthy in 2019. 2. Regulatory inquiries into Staley may affect Barclays' reputation and stock performance.
Regulatory scrutiny and reputational concerns can lead to negative investor sentiment; similar past events for banks show stock volatility during scandals.
The inquiry raises concerns about governance and internal practices, which are critical for investor trust.
Immediate regulatory impacts may lead to short-term stock price fluctuations based on public perception.