Silicon Valley Bank Shares Halted After Plunge Deepens UPDATE: The Silicon Valley Bank has been shut down by regulators

[DRandi]

Bank shares down 74% in pre-market trading despite Biden's backing

Trading was temporarily halted in dozens of regional banks this morning as shares fell by up to 75 percent when the market opened after Joe Biden claimed 'US banking is safe.'

www.dailymail.co.uk

Three more banks frozen.

Cliff notes…

 

[plong]

no, it's political and it's not systematic

Respectfully disagree... It is most-definitely political, but I'm very concerned by the systemic risk resulting from the impact of rapidly rising interest rates on bonds. Its being reported there are at least 20 large banks with exposures similar to SVB... Yikes...!

 

[NoDopes]

So, SVB simply had Zero reserves as allowed by the 2020 Fed ruling, and a small run on the bank was enough to collapse it?
If so, this is probably every bank in America right now. Car loans on sub-prime borrows are at their highest level of late payments > 60 days in history right now.

 

[Hobo Hilton]

The rest of the financial markets of the world have this figured out. Not a clue here in America.

 

[Shooter McGavin]

You Have 60 Days Left...

The first republic bank stock crashes as the banking system fails. The stock market crashes, leaving investors penniless. The federal reserve cuts interest r...

www.youtube.com

 

[Shooter McGavin]

Bank shares down 74% in pre-market trading despite Biden's backing

Trading was temporarily halted in dozens of regional banks this morning as shares fell by up to 75 percent when the market opened after Joe Biden claimed 'US banking is safe.'

www.dailymail.co.uk

 

[Hobo Hilton]

Bank shares down 74% in pre-market trading despite Biden's backing

Trading was temporarily halted in dozens of regional banks this morning as shares fell by up to 75 percent when the market opened after Joe Biden claimed 'US banking is safe.'

www.dailymail.co.uk

The member's of the US Congress made out like bandit's on this one. Their brokers had them in the best positions possible long before the collapse.
Their net worth does not increase that much in a few years on just their salary.

 

[Flyinghunter]

This is simply going to clear the runway for CBDC to land on the premise of a "rescue".

 

[Shooter McGavin]

This is simply going to clear the runway for CBDC to land on the premise of a "rescue".

^This, within two fucking years it will all be digital and the masses will be screaming for it.

 

[Shooter McGavin]

Just thinking about how fucking bad it's going to get. Once the digital currency has taking over they will push for social credit scores. At that point kiss any illusion of freedom away, we will truly be slaves. Get out of line and they'll shut your shit down.

 

[Longshot231]

 

[UKDslayer]

 

[UKDslayer]

^This, within two fucking years it will all be digital and the masses will be screaming for it.

They will make sure its before the 2024 election - so no one dare complain!

 

[Dogtown]

The current crisis will be another one with bipartisan roots that each party will attempt to exploit. Really looking forward to the hypocritical finger-pointing phase, which will be used as a distraction from the looting-the-Treasury phase.

I was curious and decided to look up that bill and the final votes. Yeah, I guess it was technically bipartisan, but it looks a bit more lopsided than folks here want to admit:

https://www.congress.gov/bill/115th-congress/senate-bill/2155

Final House Votes

Hey, there's one R who voted Nay!

Final Senate Votes

I don't see any R's voting Nay

 

[Jigstick]

Anybody have CCI450s in stock?

 

[UKDslayer]

Credit Suisse Shares Tumble to a New Record Low After Collapse of SVB and Signature Bank | The Gateway Pundit | by Cristina Laila

Credit Suisse shares tumbled to a new record low on Monday after Silicon Valley Bank and Signature Bank collapsed.

www.thegatewaypundit.com

Going international...



Credit Suisse CSGN, -8.73% CS, -4.70% has lost money for five straight quarters and says it’s expecting to post a loss before tax this year. It’s undergoing a big transformation after losing billions lending to the Archegos family office and having to freeze $10 billion worth of funds tied to Greensil Capital. Wealthy clients pulled out about $100 billion from Credit Suisse in the fourth quarter.

 

[Hobo Hilton]

Anybody have CCI450s in stock?

Midway put out a notice this morning of some primers... but IDK

 

[UKDslayer]

 

[UKDslayer]

 

[Hobo Hilton]

The failure is like the FED's saying "wait for a soft landing"....
Sip some more Kook-aid.

 

[UKDslayer]

 

[nikonNUT]

Credit Suisse Shares Tumble to a New Record Low After Collapse of SVB and Signature Bank | The Gateway Pundit | by Cristina Laila

Credit Suisse shares tumbled to a new record low on Monday after Silicon Valley Bank and Signature Bank collapsed.

www.thegatewaypundit.com

Going international...

That one is really not good! BTW… was credit suisse not mentioned in another thread a few months back?

 

[Hobo Hilton]

That one is really not good! BTW… was credit suisse not mentioned in another thread a few months back?

Of course it was mentioned...... By me ............ No one listens to an old Hobo... But, I'm used to it.
Go buy some garden seeds so you won't starve next winter.

 

[nikonNUT]

Of course it was mentioned...... By me ............ No one listens to an old Hobo... But, I'm used to it.
Go buy some garden seeds so you won't starve next winter.

Credit (Suisse) where credit is due!

 

[NoDopes]

Of course it was mentioned...... By me ............ No one listens to an old Hobo... But, I'm used to it.
Go buy some garden seeds so you won't starve next winter.

... and some chickens.

 

[nikonNUT]

Got chickens, hogs, a garden spot, and I am heavily invested in lead!

 

[UKDslayer]

 

[Hobo Hilton]

... and some chickens.

 

[SilentStalkr]

Respectfully disagree... It is most-definitely political, but I'm very concerned by the systemic risk resulting from the impact of rapidly rising interest rates on bonds. Its being reported there are at least 20 large banks with exposures similar to SVB... Yikes...!

This is my concern.

 

[UKDslayer]

Joe Biden Blames Trump For Bank Failures and Broadening Contagion | The Gateway Pundit | by Cristina Laila

Joe Biden on Monday blamed Donald Trump for the recent bank failures and broadening contagion.

www.thegatewaypundit.com

 

[UKDslayer]

 

[Hobo Hilton]

Even with the failure over the past several days of Silicon Valley Bank and Signature Bank that forced regulators to spring into action, markets still expect the Fed to keep up its inflation-fighting efforts. Suring bond yields played into the demise in particular of SVB as the bank faced some $16 billion in unrealized losses from held-to-maturity Treasurys that hold lost principal value due to higher rates.
Still, the dramatic events may not even technically qualify as something breaking in the collective Wall Street mind.
“No, it doesn’t,” said Quincy Krosby, chief global strategist at LPL Financial. “Is this enough to qualify as the kind of break that would have the Fed pivot? The market overall doesn’t think so.”

Something broke, but the Fed is still expected to go through with rate hikes

Markets still expect the Fed to keep up its inflation-fighting efforts, despite high-profile bank failures that have rattled the financial system.

www.cnbc.com

 

[IronSkillet]

Didn't Bush back in 2008 after that fiasco bailout, have some sort of corporate financial disclosure designed that the Federal Reserve or Treasury was to monitor these financial institutions so this would not occur again? Fast forward same shit different sellout in the White House!
The rich keep fucking up and making the poor even poorer, but when all is said and done they are still using a silver-spoon, while I'm hitting a Spam can with my prison spork, maybe crime pays after all.

 

[Shooter McGavin]

The rich keep fucking up and making the poor even poorer, but when all is said and done they are still using a silver-spoon, while I'm hitting a Spam can with my prison spork, maybe crime pays after all.

It actually worse than that, they will make more money off of these losses and the tax payer will bail them out. The thing is if you have the funds you too could start to become rich. Unfortunately, for me it came to early and I am still paying off some debt. Will be done in September time frame, but that's too late to save enough to take advantage of the upcoming recession.

 

[UKDslayer]

Federal Reserve Announces It Is Conducting Review Into Its Own Regulatory Failure of Silicon Valley Bank | The Gateway Pundit | by Cristina Laila

The Federal Reserve on Monday announced Vice Chair for Supervision Michael S.

www.thegatewaypundit.com

 

[hlee]

Federal Reserve Announces It Is Conducting Review Into Its Own Regulatory Failure of Silicon Valley Bank | The Gateway Pundit | by Cristina Laila

The Federal Reserve on Monday announced Vice Chair for Supervision Michael S.

www.thegatewaypundit.com

In other news “fox guarding henhouse appoints self to lead investigation of chicken deaths…”

 

[UKDslayer]

 

[oneshot86]

In other news “fox guarding henhouse appoints self to lead investigation of chicken deaths…”

That's exactly what I thought when I read the above articles title

 

[Franko]

Federal Reserve Announces It Is Conducting Review Into Its Own Regulatory Failure of Silicon Valley Bank | The Gateway Pundit | by Cristina Laila

The Federal Reserve on Monday announced Vice Chair for Supervision Michael S.

www.thegatewaypundit.com

I suspect that right before the 2024 election the investigation will conclude that it was Trump and the Deplorables who somehow caused this...

 

[Hobo Hilton]

... and some chickens.

Taken a few minutes ago.

 

[kwityurbeachn]

Ok I haven't read the two middle pages but here is what I have heard as of now(pre regulators jumping into the books). This bank was not the typical institution. Many large account holders (that did not diversify amongst many banks). SVB top loaded somewhere around 70% in treasury notes(this is not a bad thing as it is income producing investment). Those were between 1 and 2% return. When Feds raised interest rates those same treasury notes now pay around 4.5%. The problem for SVB was they couldn't find a place to loan out much of their excess capital from the Feds printing frenzy during covid. SVB like many banks were cash heavy. Supposedly a group(various large deposit holders) moved their funds out of SVB. <Rumors around banking world...... Those funds are very secure if everything is on the up and up. Their problems started trying to unload long term investments(in our own federal debt). They were trying to unload those 1.5% Tnotes and got hammered because you can buy new ones for 4.5% return. It was a run on the bank and it can be done anywhere at any bank at any time. My info could be wrong but it sounds like the stock holders will get fucked and the bank will be sold off to other banks. I think the Feds have over 1 trillion in fees from banks to pay for this.

 

[Gary/CO]

Wondering how contagious this is going to be.

Like the bubonic plague it will spread. It's only just begun.

There were 3 other bank stocks who's stocks were halted in trading this morning. Silvergate Capital, Signature Bank, and First Republic Bank.

Branden

On Friday (March 10) it was announced that collectively JP Morgue, Wells Fargo, BoA and Morgue-Chase Stanley lost $55 billion.

After the 2008 crash, lawmakers passed a bill that would prohibit US taxpayer money from being used to bail out banks in the future. Odds are the next bank will do a bail-in if FDIC is unable to find a buyer for the remaining assets. FDIC apparently only has enough capital to cover roughly 4% of all insured deposits in the US (about $800B). So a bank here or there goes down, and they can manage it, liquidate it, and only have a fraction of the insured deposits actually have to be covered in the end. If SVB going down causes another decent sized bank or 2 to go down soon, then it could get dicey. Check out the bail-in's in Cyprus, where they took 56% of all the deposits over the insured 150K euros, and 6% of insured deposits (balances under 150k euros)...from EVERYONE in order to save the bank from a complete, and total collapse. What they did on the deposits they took, was they issued new bank stock (worthless stock in a failing bank) in the amount they took. When they reopened trading on those stocks, the price got pushed down to .25 cents a share from folks trying to liquidate that stock and recover their cash. It stayed around 25 to 40 cents for a few years until it was withdrawn from the markets, and a few days later, new stock was issued that was priced at over $100/share. I didn't spend a ton of time looking into it, I can only assume they were bought, but who knows.

What i'm saying, is the US govt will no longer be in the business of bailing out private banks, there isn't too big to fail anymore....well at least until they quickly repeal that law in order to bail out private industry again.

Branden

Actually, Dodd-Frank Act redefined YOU the depositor as an unsecured creditor who stands second in line for the bank's assets. What are the bank's assets? Your deposit! It doesn't belong to you but to the bank and the bank may pay its primary creditors (generally other banks) first. So, expect a haircut/bail-in ala Cyprus (forgot that happen a decade earlier, didn't you?) or Argentina (where the banks closed and then depositors were rationed every week as to the amount they may withdraw).

You are correct in that the FDIC has only $25 billion with which too cover all the banks its ensures (it's trillions). Ultimately WE the people are the ones fleeced as the Treasury prints notes to generate the $$$ to cover the losses for the FDIC.

How you save determines whethered you saved at all. There's a video at this link and you should watch it with your significant other and then decide what to do: USA Watchdog interviews Bill Holter. Too lazy to watch a 55 min video? What does Gregory Mannarino (Trader's Choice) always say and has been saying. Last, if you don't know the difference between money and currency, it's not your fault as the school/college/university never taught ANY of us. However, if you don't know, you'll learn the hard way.

 

[Sean the Nailer]

Unfortunately, that’s exactly the way the market works. People get screwed all the time. Close a Biz, file bankruptcy, open same biz under a different name the next day and all is good. It’s fucked up. No repercussions to anyone except the stockholders get screwed.



Curious where you guys would park $500 mil.

On "Black 27"

 

[UKDslayer]

 

[Gary/CO]

Unfortunately, that’s exactly the way the market works. People get screwed all the time. Close a Biz, file bankruptcy, open same biz under a different name the next day and all is good. It’s fucked up. No repercussions to anyone except the stockholders get screwed.



Curious where you guys would park $500 mil.

I would not stash it beneath a mattress b/c of brrrrrrrrr! which devalues your funds everytime the Fed punches its enter key on their computer. I would find an undervalued aaset that has no counter-party risk.

If you must buy land, I prefer farmland over ranch land and ranch land over rental property. Read Benjamin Roth's The Great Depression: A Diary where Roth records rental property owners got stiffed by their tenants, couldn't make their mortgage payments and got foreclosed on. It took decades for real property to recover its previous value too. So farm land that is worked so it produced revenue is the best. Not glamourous, but food never falls out of fashion.

BTW, I'm not moving my $500 billion Zimbabwe dollars anywhere soon. No need to worry about it b/c it won't buy a stick of gum at Wallyworld.

 

[UKDslayer]

 

[camocorvette]

What's this the failed bank was purchased for $1?

 

[WaltHer]

What's this the failed bank was purchased for $1?

British arm of Silicon Valley Bank was purchased by HSBC for 1 Pound.

HSBC pays £1 to rescue UK arm of Silicon Valley Bank after all-night talks

British Finance Minister Jeremy Hunt on Sunday said that the government and Bank of England sought to "avoid or minimize" damage from the U.K. branch of SVB.

www.cnbc.com

 

[kwityurbeachn]

All US bank information publicly traded or private is available to see how your bank liabilities are.

View or download data for individual institutions - FFIEC Central Data Repository's Public Data Distribution

 

[Hobo Hilton]

All US bank information publicly traded or private is available to see how your bank liabilities are.

View or download data for individual institutions - FFIEC Central Data Repository's Public Data Distribution

Ever hear the phrase "Hidden in Plain sight" ?