Rob Chrisman Capital markets: dissecting the bank failure ___________________________________________________ The collapse of Silicon Valley Bank, attributed to a social media driven run on deposits, has triggered extreme volatility in the Treasury and mortgage-backed security markets, resulting in the most turbulent period since the global financial crisis and in doubling of daily trading volume. Market functioning has held up, but market participants say the turmoil has raised concern about a potential financial accident. Citigroup CEO Jane Fraser has warned that banks and regulators face new challenges in dealing with liquidity issues, as the rise of mobile apps to manage money has accelerated the pace of such events. “It’s a complete game… Read More
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