Did Silicon Valley Bank Start a Banking Crisis?

Silicon Valley Bank is no more. The question now, though, is whether the collapse of this tech-friendly regional bank is the start of something more serious — or just what happens when higher interest rates give companies less room for error.

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Did Silicon Valley Bank Start a Banking Crisis?

[Nernst]

First SVB, then signature bank and now first republic bank, these are all the signs of yet another 2008 market crash 2.0, The SVB situation is a reminder that Fed hikes are having an effect, even if the economy has held up so far

[ClementRusso]

The bank crisis isn't over yet, and experienced individuals know credit crises don't end quickly. Some find it amusing that some think it's resolved, but in reality, we're headed for a major economic downturn due to this ongoing bank crisis.

[andrew.alonzo]

The failure of Silicon Valley Bank has torn into global markets, with investors ripping up their forecasts for further rises in interest rates and dumping bank stocks around the world. I'm at a crossroads deciding if to liquidate my dipping 200k stocck portfoIio, what’s the best way to take advantage of this bear market?

[BrainKeener]

It is unlikely that the market will experience big gains anytime soon in light of the latest developments involving SVB, therefore it is prudent to set reasonable expectations and get ready for a potentially protracted recovery period. It is advised to postpone making big investment decisions until the economic climate in areas of concern has stabilized. It is best to take precautions and stay out of the current disturbance.

[jessicamamikina]

The stock market has been a really tough one this past year, but I watched an interview on CNBC where the anchor kept mentioning "KATRINA VANRENSUM ". This prompted me to get in touch with her, and from August 2022 till now we have been working together, and I can now boast of $540, 000 in my trading portfolio.

[emilytiana]

This is scary. Rich people pay politicians to make sure they get access to taxpayer funds first when banks shutter or they're in jeopardy of losing all their money. I feel bad for the lowest paid workers that may be affected, but not CEO's. A lot of them have created this abusive corporate pay structure where they are paid 300 to 400 percent the salary of entry level workers. Most add very little value. They posture and perform with speeches, meetings, and excessive travel to provide the appearance of working hard. It's a con.

[AZ-evvp]

So yall not going to talk about how the CEO AND OTHER members of the board sold of stock before hand 🙄

[dr_sriraviteja]

Don’t put all your eggs in the same basket no matter how strong the basket seems

[pauloakwood]

Even in the best of times start ups are highly risky, so a bank that deals primarily with start ups and venture capital was fundamentally a risky model from the get go. If you then compound that by putting all your eggs in only one sector (Tech) and then aggravate the problem by focusing your consumer banking business on employees of that same tech sector, you wind up with an undiversified portfolio focused on the riskiest part of the market.
Come on, you might as well just call yourself a casino.

[gunnermack]

Nobody mentioned the sale of stocks prior to the collapse, well designed plan.

[TheNoerdy]

When you are so low risk you become high risk.

[MajorCockbern]

With changes in the economy leading to instability in the stock market, some individuals may face a decrease in their investments in an effort to benefit from the current market conditions, I am considering liquidating my $725k portfolio consisting of bonds and stocks. Someone else in the same situation? Please tell me in the comments!..

[TechFollower]

This is called professional scammers... which involves government also

[mackpines]

I don’t think this will lead to anything worse.
My tip is always do your banking with a credit union.
They’re more personable and friendly to the little guy.

[josephlee]

My greatest concern is how to recover from all these economic and global troubles and stay afloat especially with the political power tussle going on in US.

[StvNWL]

Media tells you to chill, while in reality a next big crash is going to happen.

[Buzzle]

It's funny how the media is still not finished covering what happened with SVB, and we have 4 more bank failures 😂😂😂😂😂😂

[KevinSmith-qiyn]

Seems like SVBs issue was with holding bonds that are typically considered a safe asset. Seems like going through a lot of hoops to try and downplay the issue of holding bonds while interest rates are rising.

[killerjase]

According to my governor it was the one hour de&i class the employees had to do. Something about esg and something about a celebration in June and flags.

[VL-inquisitor]

Dodd Franks rules were supposed to prevent banking crises after 2008 GFC??