3 Comments
User's avatar
тна Return to thread
DeafBlindAndDumb's avatar

Not sure that SVB has fully played out. The US government guaranteed all deposits in the bank and the expectation is that all deposits are from now on insured.

Expand full comment
Russell Clark's avatar

So what happens next you think?

Expand full comment
c1ue's avatar

SVB has fully played out.

The FDIC has already pushed SVB onto First Citizen's Bank for the price of around $15B in subsidy.

As to whether all depositors are guaranteed from now on: a precedent has been set but there have been other, more significant actions taken to try and head off another bank run liquidity situation - the Fed created a new facility where any bank can turn in a bond and get face value for it. Mark to market as well as duration risk for bonds held by banks, removed.

Expand full comment