Why did the $212bn tech-lender Silicon Valley bank abruptly collapse?
by Edward Helmore from Economics | The Guardian on (#69XGN)
Was it the result of Trump-era regulation rollbacks, risk mismanagement at the bank, sharp interest rate rises - or a combination of all three?
The collapse of Silicon Valley Bank continues to reverberate, hitting bank stocks, revealing hidden stresses, knocking on to Credit Suisse, and setting off a political blame-game.
Why the $212bn tech-lender abruptly collapsed, triggering the most significant financial crisis since 2008, has no single answer. Was it, as some argue, the result of Trump-era regulation rollbacks, risk mismanagement at the bank, sharp interest rate rises after a decade of ultra-low borrowing costs, or perhaps a combination of all three?
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