Fed, SEC Probing Goldman Sachs’s Role in SVB’s Final Days
The Federal Reserve and the Securities and Exchange Commission are investigating Goldman Sachs’s GS 0.39%increase; green up pointing triangle role in buying Silicon Valley Bank’s securities portfolio while it was working on its doomed capital raise before the bank’s failure, according to people familiar with the matter.
Deposit outflows after SVB collapse concentrated among 'super-regionals' - NY Fed study
Bank deposit withdrawals following the collapse of Silicon Valley Bank were concentrated in around 30 "super-regional" institutions in the $50 billion to $250 billion range, similar to SVB, New York Fed researchers concluded in a newly released study.
Fed raises interest rates, hints possible end to series of hikes
The Federal Reserve raised interest rates by a quarter percentage point on Wednesday, marking the 10th consecutive move in an aggressive hiking campaign that began a year ago to cool inflation.
Why it matters: As the banking system shows renewed signs of stress, the central bank gave its strongest signal yet that it could pause its series of rate increases.
Fed increases rates a quarter point and signals a potential end to hikes
The Federal Reserve on Wednesday approved its 10th interest rate increase in just a little over a year and dropped a tentative hint that the current tightening cycle is at an end.
In a unanimous decision widely expected by markets, the central bank’s Federal Open Market Committee raised its benchmark borrowing rate by 0.25 percentage point. The rate sets what banks charge each other for overnight lending but feeds through to many consumer debt products such as mortgages, auto loans and credit cards.
Fed raises interest rate a quarter-point; 10th hike in past year to fight inflation
The Federal Reserve raised a key interest rate Wednesday by a quarter percentage point, the 10th increase in just over a year that is hitting consumers with higher costs for home mortgages, auto loans and credit card balances.
The central bank said the action was needed to curb inflation that was at 5% in March. Inflation has come down from 8.5% a year ago, but is still more than twice the Fed’s target level.
The FDIC's proposal for deposit reform is narrow and uninspiring—and it just might work
When it comes to deposit insurance rules, the Federal Deposit Insurance Corporation (FDIC) only wants the US Congress to change what it absolutely must. In a new report issued in the wake of Silicon Valley Bank’s failure, the banking regulator posits that it’s only business banking accounts used for payroll that need extra deposit insurance, and not the entire system of deposits.
Fed says it shares blame for Silicon Valley Bank’s collapse
The Federal Reserve gave a damning assessment of its own oversight of Silicon Valley Bank, saying supervisors misjudged the lender’s problems and were too slow to act once they became clear.
The report released on Friday is part of the Fed’s review of the second-biggest bank failure in U.S. history. Led by Michael Barr, the Fed’s vice chair of supervision, the central bank signaled a coming overhaul of rules for medium-size lenders, plus changes to how the watchdog oversees the banks it regulates.
Federal Reserve faults Silicon Valley Bank executives and lax government supervision in bank failure
WASHINGTON — Silicon Valley Bank failed due to a combination of extremely poor bank management, weakened regulations and lax government supervision, the Federal Reserve said Friday, in a highly-anticipated review of how the central bank failed to properly supervise the bank before it collapsed early last month. The report, authored by Federal Reserve staff and Michael Barr, the Fed’s vice chair for supervision, takes a critical look at what the Fed missed as Silicon Valley Bank grew quickly in size in the years leading up to its collapse. The report...
What went wrong at Silicon Valley Bank? The Fed is set to release a postmortem report
It's been six weeks since the collapse of Silicon Valley Bank and Signature Bank threatened to kick off a nationwide bank run. Now, U.S. regulators are due to issue their postmortem reports.
The Federal Reserve plans to release a report Friday on whether there were lapses in its oversight of Silicon Valley Bank that may have contributed to the bank's failure.
Separately, the Federal Deposit Insurance Corp. will also report Friday on how the regulator supervised New York-based Signature Bank, which failed days after the Silicon Valley lender.
First Republic falls more than 40% to record low after reporting massive deposit drop
Shares of First Republic fell sharply and hit a record low Tuesday, as investors questioned how the bank would stabilize itself after losing about 40% of its deposits during the first quarter.
First Republic’s stock fell more than 40% on Tuesday, extending its year-to-date losses beyond 90%. It hit a record intraday low at $8.27 per share.