Arab Press

بالشعب و للشعب
Friday, Mar 24, 2023

Biden's Pledge to Save Banking System as SVB Collapse Triggers Market Chaos

Biden's Pledge to Save Banking System as SVB Collapse Triggers Market Chaos

Panic in the Markets as Signature Bank and Silicon Valley Bank Collapse; SVB Failure Causes Stock Market Value Losses in US and Europe.
U.S. President Joe Biden has promised to take whatever action is necessary to address a banking crisis that is threatening to destabilize markets worldwide. Over the weekend, the United States moved to guarantee deposits at Silicon Valley Bank (SIVB.O), but the move failed to convince investors that other banks were safe. The collapse of SIVB and Signature Bank (SBNY.O) has resulted in emergency measures by regulators to mitigate the impact of the banking crisis.

The fallout has affected big banks like JP Morgan Chase (JPM.N), Morgan Stanley (MS.N) and Bank of America (BAC.N), causing a tumble in the stock market. Furthermore, the STOXX banking index (.SX7P) in Europe saw its largest one-day fall in over a year. German banks like Commerzbank (CBKG.DE) fell as much as 12.7%, while Credit Suisse (CSGN.S) hit a new record low after falling 15%.

President Biden reassured Americans that the banking system is safe and asked Congress and regulators to strengthen bank rules. Despite this, a closely-watched indicator of credit risk in the U.S. banking system edged up, and the volatility index (.V2TX) in Europe jumped to its highest level since October 2022. The price of gold also surged, as investors sought safe havens amid the crisis.

In addition to the banking crisis, a re-pricing of interest rate expectations has sent waves through the markets, with investors betting the Fed will be reluctant to hike next week. This has resulted in a drop in two-year U.S. Treasury yields, which is set for its biggest one-day fall since 1987.

The collapse of SIVB has also resulted in the closure of crypto-focused bank Silvergate (SI.N), which last week disclosed plans to wind down operations and voluntarily liquidate. The banking crisis has wiped out over $100 billion in stock market value for U.S. banks, with European banks losing a similar amount.
Newsletter

Related Articles

Arab Press
Close
0:00
0:00
Donald Trump arrested – Twitter goes wild with doctored pictures
Credit Suisse's Scandalous History Resulted in an Obvious Collapse - It's time for regulators who fail to do their job to be held accountable and serve as an example by being behind bars.
Paris Rioting vs Macron anti democratic law
'Sexual Fantasy' Assignment At US School Outrages Parents
Credit Suisse to borrow $54 billion from Swiss central bank
Russian Hackers Preparing New Cyber Assault Against Ukraine
If this was in Tehran, Moscow or Hong Kong
A brief banking situation report
We are witnessing widespread bank fails and the president just gave a 5 min speech then walked off camera.
Donald Trump's asked by Tucker Carlson question on if the U.S. should support regime change in Russia?.
Elon Musk Is Planning To Build A Town In Texas For His Employees
The Silicon Valley Bank’s collapse effect is spreading around the world, affecting startup companies across the globe
Market Chaos as USDC Loses Peg to USD after $3.3 Billion Reserves Held by Silicon Valley Bank Closed.
Banking regulators close SVB, the largest bank failure since the financial crisis
Silicon Valley Bank: Struggles Threaten Tech Startup Ecosystem"
The unelected UK Prime Minister Rishi Sunak, an immigrant himself, defends new controversial crackdown on illegal migration
Man’s penis amputated by mistake after he’s wrongly diagnosed with a tumour
In a major snub to Downing Street's Silicon Valley dreams, UK chip giant Arm has dealt a serious blow to the government's economic strategy by opting for a US listing
It's the question on everyone's lips: could a four-day workweek be the future of employment?
Spain officials quit over trains that were too wide for tunnels...
Corruption and Influence Buying Uncovered in International Mainstream Media: Investigation Reveals Growing Disinformation Mercenaries
European MP Clare Daly condemns US attack on Nord Stream
Tucker Carlson called Trump a 'demonic force'
US Joins 15 NATO Nations in Largest Space Data Collection Initiative in History
White House: No ETs over the United States
Saray Street in Hatay-Antakya before and after the earthquake
U.S. Jet Shoots Down Flying Object Over Canada
Nord Stream terror attack: David Sacks breaks down Sy Hersh's story
Being a Tiktoker might be expensive…
Miracle: El Salvador Search and Rescue teams, with the support of Turkish teams, rescued a woman and a child from the rubble 150 hours after the earthquake
SpaceX, the private space exploration company, made a significant breakthrough in their mission to reach space.
China's top tech firms, including Alibaba, Tencent, Baidu, NetEase, and JD.com, are developing their own versions of Open AI's AI-powered chatbot, ChatGPT
This shocking picture, showing how terrible is the results of the earthquake in Turkey
President Joe Biden delivered the 2023 State of the Union Address , in order to help Americans that missed the 2022 speech, do not have internet, and suffer from short memory.
The desk of King Carlos Alberto of Sardinia has many secret compartments
Today's news from Britain - 9th February 2023
The five largest oil companies in the West generated combined profits of nearly $200 billion in 2022, which has led to increased calls for governments to impose tougher windfall taxes
2 earthquakes in Turkey killed over 2,300 people
Powerful Earthquake Strikes Turkey and Syria, Killing More Than 1,300 People.
Turkish photographer Ugur Gallenkus portrays two different worlds within a single image. Brilliant work
Charlie Munger, calls for a ban on cryptocurrencies in the US, following China's lead
Shell reports highest profits in 115 years
EU found a way to use frozen Russian funds
First generation unopened iPhone set to fetch more than $50,000 at auction.
WARNING GRAPHIC CONTENT - US Memphis Police murdering innocent Tyre Nichols
Almost 30% of professionals say they've tried ChatGPT at work
Interpol seeks woman who ran elaborate exam cheating scam in Singapore
What is ChatGPT?
Bill Gates is ‘very optimistic’ about the future: ‘Better to be born 20 years from now...than any time in the past’
Tesla reported record profits and record revenues for 2022
×