It is incredible, even inconceivable, that the Belgian and Dutch press has not yet reported on this matter.
Friday, March 10, 2023 Silicon Valley Bank ( SVB ) collapsed in spectacular way after announcing huge losses a few days before, causing its share price to fall down.
Trading in SVB Financial Group's shares SIVB, was halted Friday morning after the shares plunged again in pre-market trading. Several analysts reacted to the liquidity risk of the ban and were proven right. There has been a rush on deposits. Every holder of an account with SVB wanted to withdraw all their money. The bank did not have the cash available.
Next California regulators closed Silicon Valley Bank and handed over the sunken wreckage later in the day to the Federal Deposit Insurance Corp. Signature Bank of New York, (the main subsidiary of Signature Bank Corp ). Sunday, March 12, 2023 SBNY ( -22.87% ) was also closed by state regulators and taken over by the Federal Reserve Bank.
The Federal Deposit Insurance Corporation has claimed that this is the biggest bank failure in the United States since the Great Recession, bigger than the 2008 banking crisis.
Twenty other banks took a hit from SVB's failure as investors and analysts look at other problems similar to SVB's, such as First Republic Bank, whose shares fell as much as 52% during early trading - its value has fallen 35% in the past week.
In a single day, the biggest banks together lost more than $50 billion in market value.
The same day, Silvergate Bank announced that it was going into liquidation.
The financial world is watching with suspicion who will be the next bank.
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