Silicon Valley's 'greed and avarice' have 'finally come home to roost' in SVB collapse, trader says
Publishing timestamp: 2023-03-13 08:54:42
Summary
SVB Financial Group, a reliable source of funding for tech startups and venture capital firms, collapsed due to the Fed's aggressive interest rate hikes and its disproportionate exposure to long-term interest rates. The collapse is seen as a product of a faulty system rather than the bank itself, with some analysts blaming greed and avarice in Silicon Valley. The fallout from the collapse has dragged down international banking stocks, and regulators have been criticized for being asleep at the wheel. However, federal regulators have announced an emergency plan to guarantee depositors' funds, reducing contagion risk. The collapse highlights the need for a serious review of the banking system and raises questions about the role of regulators and auditors.
Sentiment: NEGATIVE
Tickers: SIVB,
Keywords: markets, stock markets, svb financial group, economy, business news, banks, inflation, technology, interest rates, united states,