Financial Crises

Federal Reserve Chairman Jerome Powell said Wednesday the management of Silicon Valley Bank "failed badly" by exposing the firm to substantial risks from its bond holdings and deposit base.

Withdrawals accelerated late in the morning on the West Coast on Thursday, March 9. Executives paced the office on phone calls as employees watched and texted details to each other.

With the banking industry in turmoil, regulators and analysts are growing increasingly concerned about commercial real estate debt, according to industry participants.

UBS reportedly reached a deal with Swiss regulators to buy Credit Suisse for $2 billion in a move to prevent the potential collapse of Credit Suisse from roiling markets.

The Federal Reserve Bank of San Francisco is facing mounting criticism after Silicon Valley Bank, which was under its supervision, collapsed following a bank run by depositors.

The Federal Deposit Insurance Corporation (FDIC) is reportedly considering breaking up Silicon Valley Bank into at least two entities as it auctions off the failed bank's assets.

U.S. shareholders have filed lawsuits against Credit Suisse alleging the bank misled customers about its financial status and violated securities laws in the process.

The State Financial Officers Foundation is criticizing the now-failed Silicon Valley Bank for failing to properly manage risk while pursuing ESG initiatives.

Online records show Silicon Valley Bank invested heavily in groups related to the Black Lives Matter movement and other social justice causes in the years before its collapse.

Former FDIC Chair Sheila Bair said regional banks appear to be stable overall but urged regulators to provide more clarity about the reasoning behind their actions.

Robert Kiyosaki, who originally forecasted the Lehman 2008 crisis, predicts the next bank to collapse in the Silicon Valley Bank contagion will be Credit Suisse.

Federal financial regulators are moving to reassure depositors at Silicon Valley Bank with a special backstop as they pursue the failed bank's sale through an auction.

The rapid growth in U.S. government debt is being financed by domestic U.S. entities, not foreign governments, and that shift poses risks to economic growth.