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☆ 3 Failed Banks This Year Were Bigger Than 25 That Crumbled in 2008
▼ + stars: | 2023-03-11 | by ( Karl Russell | Christine Zhang | ) www.nytimes.com time to read: +6 min

The three banks that failed this year were worth more in inflation-adjusted assets than the 25 that collapsed in 2008. Before Silicon Valley Bank, the last bank to fail was in late 2020, as the coronavirus was ravaging the country. First Republic Bank ranks 14th, Silicon Valley Bank ranks 16th and Signature Bank ranks 29th. Silicon Valley Bank’s chief executive, Greg Becker, was a strong supporter of the move. In a review of the Fed’s oversight of Silicon Valley Bank released on Friday, Michael S. Barr, the central bank’s vice chair for supervision, said the Fed would “re-evaluate” its rules for banks that were similar in size to Silicon Valley Bank.

☆ Etsy warns sellers of delay in processing payments due to Silicon Valley Bank collapse
▼ + stars: | 2023-03-11 | by ( Rob Wile | ) www.cnbc.com time to read: +3 min

Etsy is warning sellers that the collapse of Silicon Valley Bank on Friday is causing delays in processing payments, according to an email from the company shared with NBC News. "We wanted to let you know that there is a delay with your deposit that was scheduled for today," the email from Etsy said. "Please know that our teams are working hard to resolve this issue and send you your funds as quickly as possible." One affected Etsy seller told NBC News the deposits delay would have a "catastrophic" effect on his business. The FDIC has formed a separate entity where all insured SVB deposits — up to $250,000 per depositor — will be available by Monday morning.

New York CNN —This week, the go-to bank for US tech startups came rapidly unglued, leaving its high-powered customers and investors in limbo. Silicon Valley Bank, facing a sudden bank run and capital crisis, collapsed Friday morning and was taken over by federal regulators. Founded in 1983, SVB specialized in banking for tech startups. At the same time, venture capital began drying up, forcing startups to draw down funds held by SVB. By Friday morning, trading in SVB shares was halted and it had abandoned efforts to quickly raise capital or find a buyer.

WASHINGTON/NEW YORK, March 11 (Reuters) - The rapid unraveling of SVB Financial Group (SIVB.O) has blindsided the banking industry after years of stability. Investors and customers now face a nervous wait to see if SVB bank finds a buyer quickly. During the 2008 financial crisis, Washington Mutual found a buyer immediately. One area of particular focus could be larger regional banks, which saw some rule relief under the Trump administration. U.S. banking regulators said in October they were considering new requirements on large regional banks, including holding more long-term debt to weather losses.

☆ Who will step up to buy SVB? The white knight might be a bank outside Wall Street.
▼ + stars: | 2023-03-11 | by ( Hayley Cuccinello | ) www.businessinsider.com time to read: +5 min

SVB Bank, which catered to startups and tech founders, imploded in three days after a run on the bank. SVB Financial is reportedly looking to find a buyer by Monday. The implosion of Silicon Valley Bank means a working weekend for some bankers. SVB Financial Group is on the hunt for a buyer after regulators closed its Silicon Valley Banking business, according to Bloomberg. Though SVB's bond losses are taking up the headlines, its parent company SVB Financial has two business segments that are enticing.

☆ Founders swarmed SVB’s Bay Area branches looking for answers after bank's historic failure
▼ + stars: | 2023-03-11 | by ( Jennifer Elias | ) www.cnbc.com time to read: +5 min

A Brinks armored truck sits parked in front of the shuttered Silicon Valley Bank (SVB) headquarters on March 10, 2023 in Santa Clara, California. In Santa Clara on Friday morning, SVB customers arrived frustrated and angry, many donning blank and tired faces. Zoom In Icon Arrows pointing outwards Toward the end of the day, startup founders trickled in less and less to the Menlo Park office promenade in hopes of catching a representative. ‘I'm trying to get a check!’In Menlo Park, Teslas filed into SVB's Sand Hill Road parking lot Friday. At the Menlo Park branch, one person, wearing a Patagonia jacket, posed for a picture in front of the SVB logo.

☆ Takeaways from America’s second-largest bank failure
▼ + stars: | 2023-03-11 | by ( Ramishah Maruf | ) edition.cnn.com time to read: +7 min

New York CNN —Silicon Valley Bank’s 48-hour collapse led to the second-largest failure of a financial institution in US history. Its stunning, and seemingly rapid, fall is the largest shutdown of a US bank since Washington Mutual in 2008. “That’s because its depositors were withdrawing their money so fast that the bank was insolvent, and an intraday closure was unavoidable due to a classic bank run.”High interest rates led to its demiseTo combat rampant inflation, the central bank has been aggressively raising interest rates since 2022. When interest rates were near historical lows, the banks bought up on long-dated, seemingly low-risk Treasuries. Faced with these higher interest rates, loss of IPOs and a funding drought, SVB’s clients began pulling money out of the bank.

☆ Silicon Valley Bank is the biggest US bank failure since Washington Mutual during the 2008 financial crisis
▼ + stars: | 2023-03-10 | by ( Sindhu Sundar | ) www.businessinsider.com time to read: +3 min

Regulators shut down Silicon Valley Bank on Friday following a catastrophic bank run. The largest bank failure before that was Washington Mutual in 2008, which had $307 billion in assets. The size of the failure is second only to Washington Mutual Bank's closure during the sub-prime mortgage crisis in 2008. A representative for Silicon Valley Bank did not immediately respond to Insider's emailed request for comment on Friday. FDIC, now the official receiver for Silicon Valley Bank, said it has taken measures to safeguard customers.

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☆ The Second-Biggest Bank Failure
▼ + stars: | 2023-03-10 | by ( Karl Russell | Christine Zhang | ) www.nytimes.com time to read: +5 min

A bar chart of U.S. bank failures since 2001, showing that Silicon Valley Bank’s collapse was the second-biggest in U.S. history in terms of assets. Before Silicon Valley Bank, the last firm to fail was in late 2020, as the coronavirus was ravaging the country. It’s unclear whether the collapse of Silicon Valley Bank will spread to the broader industry. Silicon Valley Bank 209 17. Silicon Valley Bank 209 Fifth Third Bank 17.

☆ Wondering what the hell just happened at SVB? Here's everything you need to know
▼ + stars: | 2023-03-10 | by ( Sindhu Sundar | ) www.businessinsider.com time to read: +4 min

Silicon Valley Bank, a once-trusted banker to startups, was closed down by regulators on Friday. SVB became the latest casualty of a bank run as VCs and founders rushed to protect their funds. Sign up for our newsletter for the latest tech news and scoops — delivered daily to your inbox. The bank had already been experiencing headwinds from "continued higher interest rates, pressured public and private markets, and elevated cash burn," Greg Becker, the CEO of Silicon Valley Bank, wrote to investors on Wednesday. As part of the closure, Federal Deposit Insurance Corporation, the agency that helps insure customers' bank funds, has now taken control of SVB.

☆ NYPD called to Silicon Valley Bank branch to respond to 'disorderly group' after SVB's shocking collapse
▼ + stars: | 2023-03-10 | by ( Sindhu Sundar | ) www.businessinsider.com time to read: +1 min

The NYPD responded to a Silicon Valley Bank branch in after a complaint about a "disorderly group." An NYPD spokesman told Insider that police responding didn't witness any crimes from those gathered. People had apparently gathered at the bank's New York branch to try to withdraw their money from the collapsing financial institution. When the NYPD responded, officers didn't witness any criminal acts, a spokesman for the New York Police Department told Insider. A representative for Silicon Valley Bank did not immediately respond to Insider's emailed request for comment on Friday.

☆ Silicon Valley Bank is shut down by regulators in biggest bank failure since global financial crisis
▼ + stars: | 2023-03-10 | by ( Jesse Pound | ) www.cnbc.com time to read: +3 min

Financial regulators have closed Silicon Valley Bank and taken control of its deposits, the Federal Deposit Insurance Corp. announced Friday, in what is the largest U.S. bank failure since the global financial crisis more than a decade ago. According to press releases from regulators, the California Department of Financial Protection and Innovation closed SVB and named the FDIC as the receiver. The FDIC in turn has created the Deposit Insurance National Bank of Santa Clara, which now holds the insured deposits from SVB. The last U.S. bank failure of this size was Washington Mutual in 2008, which had $307 billion in assets. The shares of parent company SVB Financial Group fell 60% on Thursday, and dropped another 60% in premarket trading on Friday before being halted.

☆ After Silicon Valley Bank's shutdown, uninsured depositors face tense wait
▼ + stars: | 2023-03-10 | by ( Pete Schroeder | ) www.reuters.com time to read: +3 min

But failing that, uninsured depositors will be left with a portion of whatever funds the FDIC can raise selling off the bank's assets. SVB Financial Group's (SIVB.O) Silicon Valley Bank had a relatively high amount of uninsured deposits as it courted tech workers and venture capital firms. The FDIC said on Friday the amount of uninsured deposits at the bank was “undetermined,” likely complicated by the rush of bank customers to remove uninsured funds. But Silicon Valley Bank’s relatively well-off clientele could be the exception, and the push for full repayment was already coming from some corners. But that process can be lengthy, leaving uninsured depositors in the dark.

☆ A major inflation report and fallout from Silicon Valley Bank hang over markets in week ahead
▼ + stars: | 2023-03-10 | by ( Patti Domm | In | ) www.cnbc.com time to read: +7 min

February's consumer inflation report should be a big driver for markets in the week ahead, as investors watch for continued fallout from the shutdown of SVB Financial Group's Silicon Valley Bank. The consumer price index report on Tuesday is the last major inflation data ahead of the Federal Reserve's March 21 and 22 meeting. Silicon Valley Bank's troubles overshadowed nearly everything else in markets Thursday and Friday, as investors sought safety in the bond market and sold bank stocks. Those odds had been as high as 70% before the Silicon Valley Bank news began to hit the market. Now inflation data is being watched carefully since a very hot number could mean the Fed will become more aggressive.

☆ Housing is slumping, but this real estate CEO explains why it’s not 2008 all over again
▼ + stars: | 2022-10-05 | by ( Paul R. La Monica | ) edition.cnn.com time to read: +4 min

New York CNN Business —Mortgage rates are soaring. And for many prospective home buyers, especially first-time purchasers, the combination of rising home loan costs and still sky-high real estate prices make the idea of purchasing a home prohibitively expensive…if not impossible. But don’t tell that to the CEO of real estate developer Howard Hughes Corp. In an interview with CNN Business, David O’Reilly said that he’s not too worried about another housing market crash and explains why. apartment buildings) but that they are “running away from retail, offices and hotels.”Weakness in commercial real estate is probably one of the main reasons why Howard Hughes (HHC), like the stocks of other real estate companies, has plunged this year.

☆ Fostul CEO al celei mai mari bănci falimentare din istorie prevede o nouă criză financiară pe modelul 2008
▼ + stars: | 2021-05-27 | by ( ) www.jurnal.md time to read: +2 min

Sursa foto: alamy.comFostul CEO al celei mai mari bănci falimentare din istorie prevede o nouă criză financiară pe modelul 2008După aproape 13 ani de la criza financiară provocată de spargerea bulei imobiliare, o altă situație îngrijorătoare apare la orizont. Conform CNN, sunt spusele lui Kerry Killinger, CEO al Washington Mutual din 1990 până în septembrie 2008. Acesta a fost dat afară de la bancă cu câteva săptămâni înainte de falimentul acesteia, după ce mai multe împrumuturi imobiliare au eșuat. Politica federală de a da dobânzi mici a fost bună pentru revenirea din criză a fost bună, însă are și consecințe nedorite”, a transmis Killinger. Este vremea ca federalii să înceteze cu pachetele de stimul și să permită creșterea dobânzilor la depozite bancare”, a mai spus expertul.

Persons: CNN, Kerry, Chase, Killinger, . Organizations: Washington, Washington Mutual, DC News Locations: Washington, ., Statele Unite ale Americii

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