The Fed, Treasury and FDIC acted swiftly to protect depositors and stem any panic, but anxiety continues to grow about the state of the global financial system.
The speed of SVB’s collapse was a surprise but central bankers can learn lessons from this failure.
SVB, as it’s known, collapsed with lightning speed following a run on its deposits.
Is the financial system headed for another ‘Lehman moment’? Perhaps, but a bailout isn’t the solution. More capital is, something Trump should remember as he rewrites U.S. bank rules.