Upon Further Analysis — Archives
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Supervisory Guidance & Selective Amnesia
Most attribute recent bank failures, at least in part, to a lack of quick and effective actions by bank supervisors. How much of the blame lies with Congress, senior regulators, or the banking industry lobby is more open to dispute. Attempts to absolve the latter groups rely on some selective amnesia. Actions that bank regulators…
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INSURING THE UNINSURED AT SVB
The FDIC announced on March 13th that it will fully cover all depositors, insured and uninsured, at the failed Silicon Valley Bank. SVB is the second largest bank to fail in U.S. history. The same rules will apply for depositors of the third largest bank failure in history, Signature Bank. Secretary Yellen and others have…