US Banks teetering; be careful with your investments.

[𐒋𐒖𐒆𐒔𐒖𐒕𐒈]

Any traders, or market-watchers here?
A great time to target soft pickings, if one is an adventurous investor.

With SVB (Silicon Valley Bank) on the brink (almost except its UK holdings courtesy of HSBC), and Fed. Res. announcing it shall not be bailing it out on Sun., US Banks are heading downward turn as to their stocks, and net worth at a fast speed with some losing as much as 75%.

20 major banks are being hit, some with trading halts.

At lunch time, US Eastern time, here is the tally thus far:
- Western Alliance down by 75% (trading halted)
- First bank down by 67% (trading halted)
- PAC West BankCorp down by 35% (trading halted)

- Stocks for Citi, JP Morgan, WF, BoA, US Bank etc are in the wind.

- SVB's 200 billion USD assets almost wiped.
- Signature Bank's 110 billion USD assets seized by the US gov't.

HSBC poised to pick SVB's interests in the UK on the slide.

I suspect most of you are students, but those amongst you with financial instruments, interests, and investment might want to consider diversification, and realignment. Better yet, go on the hunt for soft pickings, if with some capital.

 

[𐒋𐒖𐒆𐒔𐒖𐒕𐒈]

Global financial markets lost just under 500 billion USD in a day with US Banks losing 100 billion.

 

[Keep it a boqol]

What effect is this going to have on the house market ? Canada , US, UK?

 

[NordicSomali]

Not such a bad news, the fed will be careful not to increase the rates, good for those with mortgages and student debt (and consumer debt).

 

[𐒋𐒖𐒆𐒔𐒖𐒕𐒈]

What effect is this going to have on the house market ? Canada , US, UK?

It would definitely adversely impact real estate, where the rate is still high at 7% +/-, and possibly auto. The good news is the team advising Biden is the same team, which manged the 2008 crises.

Watch this HBO documentary to get a sense as to how close to collapse the US economy, and by extension global markets, came to back then.

The US owes these good men (Bernanke, Paulson, Geithner, Summers, and of course Obama with his foresight) a death of gratitude, despite their politics. Two of them almost died of stroke, and heart attack in their offices.

 

[𐒋𐒖𐒆𐒔𐒖𐒕𐒈]

With US markets just closed, recap of notable moves in markets today:
- Futures and options stable,
- Markets moving upwardly,

- US major banks moving upwardly, almost recouping losses from Mon., after a slide earlier in the day,

- Tech giants stuttering, if moving upwardly,
- Construction sector doing well,
- Inflation slowing gently,

- European, Asian, and African markets held up,
- SocGen & BNP, two of the larger banks in France, feared to wobble going the same route as SVB; EU reassures markets.