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*for future bank failures missed that bit in the headline there. This makes sense because SVB had a liquidity issue, which is easy enough to clean up without g
by chomp 4y ago
*for future bank failures
missed that bit in the headline there. This makes sense because SVB had a liquidity issue, which is easy enough to clean up without getting your hands too dirty. Other banks may fail differently.
- xiphias2 4y agoIf you increase interest rates so fast, liquidity issue gets systemic, everybody understands it. If Credit Suisse can go down, any bank can go down.
- OnlineGladiator 4y ago> If Credit Suisse can go down, any bank can go down. Credit Suisse has been fucked for over a decade. Their stock has been tanking for 15 years. They're pretty much the poster child of a bank embroiled in scandals and somehow lose money at the same time. It's probably the worst bank to choose to represent a "healthy" bank.
- VagueMag 4y agoEverything that you say is true, and yet, it is indeed pretty difficult to imagine CS being allowed to "go down" in the sense of not making good on its derivatives obligations or other large debts.