The White House said the Treasury Department is working with regulators on the next steps.
Mr Biden's efforts to reassure markets and depositors came after emergency US measures to shore up banks by giving them access to additional funding failed to dispel investor worries about potential contagion to other lenders worldwide.With investors fearing additional failures, major US banks lost around US$90 billion in stock market value on Monday, bringing their loss over the past three trading sessions to nearly US$190 billion.
Mr Biden said his administration's actions meant"Americans can have confidence that the banking system is safe," while also promising stiffer regulation after the biggest US bank failure since the 2008 financial crisis.SVB's meltdown sparked a partisan battle in Washington on Monday, with Democrats arguing that a Trump-era change to bank oversight rules undermined the stability of regional banks.
"When a step this big, this quickly, your first thought is 'crisis averted.' But your second thought is, how big was that crisis, how big were the risks that this step had to be taken?" said Mr Rick Meckler, partner at Cherry Lane Investments. SVB's customers will have access to all their deposits from Monday and regulators set up a new facility to give banks access to emergency funds and the Fed made it easier for banks to borrow from it in emergencies.
Prime Minister Rishi Sunak added his voice to those in the UK saying there was no concern about systemic risk.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Singapore banking system has 'insignificant exposures' to failed SVB, Signature Bank: MASSINGAPORE: The Singapore banking system has “insignificant exposures” to the failed Silicon Valley Bank (SVB) and Signature Bank, which collapsed in recent days, the Monetary Authority of Singapore (MAS) said on Monday (Mar 13). “Banks in Singapore are wel
Read more »
Biden says US banking system is safe after SVB, Signature collapse'Your deposits will be there when you need them,' the US president reassures people as he vows stiffer bank regulation. Read more at straitstimes.com.
Read more »
Regulators close New York's Signature bank, days after Silicon Valley Bank's demiseNEW YORK — State regulators closed New York-based Signature Bank on Sunday (March 12), just two days after California authorities shuttered Silicon Valley Bank, in a collapse that roiled global markets and left billions of dollars of deposits belonging to companies and investors stranded.
Read more »
SVB collapse could add to China stock investors' anxietyHONG KONG : China stock investors, already disillusioned by Beijing's lower-than-expected economic growth target for the year, will be further disheartened by the shock collapse of U.S. lender SVB Financial Group, market participants said.China's CSI300 Index dropped 4 per cent last week, while Hong Kong'
Read more »
Six Hong Kong-listed firms say their deposits at SVB are immaterialHONG KONG : Six Hong Kong-listed companies, mostly Chinese pharmaceutical firms, disclosed cash deposits at Silicon Valley Bank on Sunday, adding that their exposure to the failed U.S. lender and its impact on operations were immaterial, in an effort to calm investors.Startup-focussed SVB Financial Group,
Read more »
India tech minister says to meet startups on SVB falloutMUMBAI : India's state minister for technology said on Sunday he will meet start-ups this week to asses the impact on them of Silicon Valley Bank's collapse, as concerns rise about the fallout for the Indian start-up sector.California banking regulators shut down Silicon Valley Bankon Friday after the a r
Read more »