Author: Steven Sahiounie

Banking stocks drove European markets lower on Monday as global investors weighed the consequences of the collapse of Silicon Valley Bank (SVB). The US lender imploded last week and had its assets seized after a bank run caused its stock to plummet. The pan-European Stoxx 600 index dropped 2.56% at 13:00 GMT, with all major stocks trading in the red. Bank stocks slumped more than 6%, with Commerzbank, BAWAG Group, and Banco BPM among the biggest losers. Credit Suisse plunged 15% in early trading and UniCredit lost 9%, while Deutsche Bank and Raiffeisen Bank both declined by 7%. The meltdown…

Bitcoin soared after the government pledged to protect the depositors of failed tech lenders Major cryptocurrencies rebounded on Monday, with the overall crypto market cap reclaiming the $1 trillion mark, following the news that the US authorities will attempt to rein in the unfolding banking crisis. The largest digital asset, Bitcoin, has jumped more than 18% in the past 24 hours to its highest level in over a week. The crypto was trading at $24,385 per token as of 15:30 GMT. Other major crypto coins, including Cardano, Polygon, Solana, Litecoin, Avalanche, and Filecoin, were all up by more than 10%.…

Washington — President Biden on Monday sought to reassure Americans that they can have confidence in the U.S. banking system following the collapse of Silicon Valley Bank and quell any concerns about the fallout from its abrupt failure. “Americans can have confidence that the banking system is safe,” Mr. Biden said in brief remarks from the White House. “Your deposits will be there when you need them. Small businesses across the country that deposit accounts at these banks can breathe easier knowing they’ll be able to pay their workers and pay their bills, and their hard-working employees can breathe easier as well.” The…

The U.S. government announced Sunday that it is deploying emergency measures to shore up the banking system and backstop deposits at two banks that failed within a matter of days. All deposit accounts at both institutions, Silicon Valley Bank and Signature Bank in New York, will be guaranteed, according to a joint statement released by the Federal Reserve, the Department of the Treasury and Federal Deposit Insurance Corporation (FDIC). Depositors with SVB “will have access to all of their money starting Monday, March 13. No losses associated with the resolution of Silicon Valley Bank will be borne by the taxpayer,” the statement said.…

The collapse of Silicon Valley Bank (SVB) was the fault of US President Joe Biden’s administration, Donald Trump has claimed, warning it could lead to a new Great Depression in the United States. SVB, a major lender focused on tech and startups, which was the 16th largest US bank with over $200 billion in assets only a few months ago, imploded on Friday after what analysts called “a classic case of bank run.” Alarmed over the state of the bank, depositors rushed to withdraw funds, which saw SVB’s shares crash and forced the Federal Deposit Insurance Corporation (FDIC) to shut the…

The country’s exports surged nearly 20% despite Ukraine-related Western sanctions Russia’s foreign trade surplus soared last year, driven by gains in exports, data from the Federal Customs Service showed on Monday. According to the agency, total exports in 2022 reached $591.4 billion, up 19.9% from 2021. Imports, meanwhile, slid 11.7% against the previous year to $259.1 billion. This brought the country’s trade surplus to a record of $332.38 billion, up 67% from $199.5 billion in 2021. Russia’s foreign trade turnover gained 8.1% compared to 2021, reaching $850.5 billion. Energy products made up the bulk of Russia’s foreign exports, comprising nearly…

Regulators shut down Signature Bank after its shares plunged in the wake of Silicon Valley Bank’s failure New York-based Signature Bank was shut down by US regulators on Sunday, becoming the third failure in the country’s banking industry in less than a week. According to a joint statement from the Federal Reserve, US Treasury and the Federal Deposit Insurance Corporation (FDIC), the lender “was closed by its state chartering authority.” The statement from the regulators was issued to announce a new emergency program to protect depositors of failing banks. They explained that they would make a “systemic risk exception” for both Signature…

Markets expect a pause in rate hikes, while regulators deal with the aftermath of bank failures The US dollar index, which measures the greenback against six other major currencies, plunged to near one-month lows on Monday, following a Goldman Sachs forecast that Washington will likely halt rate hikes. According to trading data, the index slid 0.6% to 103.9 by 09:00 GMT. Goldman’s previous forecast predicted a 25-basis-point hike at the next Fed meeting in March. The change in expectations came after US regulators on Sunday announced a new emergency program aimed at protecting bank clients, following the failures of Silicon…

US regulators have closed down New York-based Signature Bank, a big lender in the country’s crypto industry, in a desperate attempt to backstop the banking crisis and quell concerns among customers about the safety of their deposits. The closure of the bank marks another major failure in US banking history, two days after authorities shuttered Silicon Valley Bank in a collapse that experts say has shaken the foundations of the US economy. In a joint statement released on Sunday, the US Treasury Department, Federal Reserve, and Federal Deposit Insurance Corporation (FDIC) cited the closure of the New York state-chartered commercial bank with total assets of approximately $110.36 billion…

HSBC Holdings Plc (HSBA) said that its U.K ring-fenced subsidiary, HSBC U.K. Bank, is acquiring Silicon Valley Bank U.K. (SVB U.K.) for £1 ($1.21), as per a filing. As of Mar. 10, SVB U.K. had loans of around $6.6 billion and deposits of around $8.1 billion, the filing read. Noel Quinn, HSBC Group CEO, said, “This acquisition makes excellent strategic sense for our business in the U.K. It strengthens our commercial banking franchise and enhances our ability to serve innovative and fast-growing firms, including in the technology and life-science sectors, in the U.K. and internationally.” The sale, announced Monday, was facilitated…