Dow futures jump 250 points as regulators announce backstop of SVB depositors: Live updates

CNBC ^ | March 12, 2023 | Tanya Macheel

[DoodleBob]

Stock futures jumped Sunday evening after regulators announced a plan to backstop all the depositors in failed Silicon Valley Bank and make additional funding available for other banks.

S&P 500 futures gained 1.1% and Nasdaq 100 futures rose 1.2%. Futures tied to the Dow Jones Industrial Average were up by 265 points.

All Silicon Valley Bank depositors will have access to their money starting Monday, according to a joint statement from the Treasury Department, Federal Reserve and the FDIC.

[Baldwin77]

Here we go.

[rigelkentaurus]

The market right now is all about interest rates, not the health of the economy or anything else. The market is saying that the Fed might raise interest rates only 2 more times each 0.25, and will cut rates before the end of this year. If that happens, then the Fed has surrendered to inflation and it will soar.

As I have said, my believe is there are only three choices:
1. The Fed fights inflation which is caused intentionally by government energy policies and spending by crushing the economy
2. The government dramatically changes policies on energy and spending
3. The Fed surrenders to inflation and accepts high inflation.

The Fed has been half hearted working on choice 1, and the market believes the Fed is now pivoting to choice 3.

[bray]

Can’t have a Oligarchs losing any money.