The Fed's "Bailout" Of Silicon Valley Bank

Gray High Rise Buildings

Image Source: Pexels


Fed is “prepared to address any liquidity pressures that may arise” - a workaround for unrealized losses and the fed saw potential systemic risk.

"The Fed is explicitly trying to tighten financial conditions, but also has responsibilities to promote a stable banking system. A liquidity facility for banks that ignores losses from rate hikes is uniquely positioned to walk that line." - Steven Kelly

The $250K deposit insurance cap is not really useful anymore.

It's kind of a bailout

Video Length: 00:09:17


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Disclaimer: These views are not investment advice, and should not be interpreted as such. These views are my own, and do not represent my employer. Trading has risk. Big risk. Make sure that you can ...

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