U.S. government steps in and says people with funds deposited at SVB will be able to access their money
Publishing timestamp: 2023-03-12 22:45:50
Summary
Regulators have approved plans to backstop depositors and financial institutions associated with Silicon Valley Bank and Signature Bank, ensuring full access to deposits and providing loans up to one year for affected institutions. The Treasury Department has designated both banks as systemic risks and the FDIC's deposit insurance fund will be used to cover depositors. Shareholders and unsecured creditors will not be protected. The Federal Reserve is creating a new Bank Term Funding Program to safeguard institutions affected by market instability. The initiatives were done to head off further potential problems and strengthen public confidence in the banking system.
Sentiment: NEUTRAL
Keywords: business news, svb financial group, banks, breaking news, breaking news: markets, janet yellen, jerome powell, signature bank,
Source: https://www.cnbc.com/2023/03/12/regulators-unveil-plan-to-stem-damage-from-svb-collapse.html