Browsing Tag

SVB

14 posts

Markets mixed as traders weigh US support after SVB collapse

US promises to protect troubled lenders eased concerns about the financial sector following the closure of two banks over the weekend, as equity markets were mixed. Silicon Valley Bank’s collapse and the sale of securities caused its shares to plummet 60%, leading regulators to close the bank. Meanwhile, New York regulators closed Signature Bank. The Federal Reserve, Treasury Department, and Federal Deposit Insurance Corp. pledged to protect depositors and lenders struggling to find cash. SVB is the largest retail bank to fail since the 2008 financial crisis.

HSBC buys failed US bank SVB’s UK arm for £1

HSBC has bought the UK arm of Silicon Valley Bank for just £1 in a rescue deal that ensures customer deposits remain protected and unaffected. The acquisition will allow HSBC to expand its ability to support fast-growing firms, particularly those in the tech and life sciences sectors. The deal comes after SVB collapsed last Friday due to customers making large withdrawals, making it the largest bank failure since 2008.

US regulators rush to contain SVB fallout, as a second bank fails

US authorities have unveiled measures to rescue depositors’ money in full from failed Silicon Valley Bank and to promise other institutions help in meeting customers’ needs, as they announced a second tech-friendly bank had been closed by regulators. Deposit guarantees will ensure that all customers receive their money back in full. The Federal Reserve will also make extra funding available to banks to help them meet the needs of depositors, which would include withdrawals.

Yellen rules out SVB bailout but US said to weigh protecting deposits

US officials are reportedly considering safeguarding all uninsured deposits at Silicon Valley Bank (SVB) after the bank’s collapse left billions in deposits up in the air. Treasury Secretary Janet Yellen said the government wants to avoid financial “contagion” from the implosion, but ruled out a bailout. SVB was taken over by regulators on Friday after a huge run on deposits left the medium-sized bank unable to stay afloat on its own. The bank’s failure has caused concerns about possible ripple effects on technology and life science companies, as well as the cryptocurrency world.