Haven’t found a buyer yet.
3:00pm ET Update: In a reversal of what Janet Yellen said just hours ago, WaPo reports that federal authorities are “seriously considering safeguarding all uninsured deposits at Silicon Valley Bank” - and by extension any other bank on the verge of failure - and are weighing an extraordinary intervention to prevent what they fear would be a panic in the U.S. financial system. Translation: bailout of all depositors, not just those guaranteed by the the FDIC (<$250K).
Officials at the Treasury Department, Federal Reserve, and Federal Deposit Insurance Corporation discussed the idea this weekend, the people said, with only hours to go before financial markets opened in Asia. White House officials have also studied the idea, per two separate people familiar with those discussions. The plan would be among the potential policy responses if the government is unable to find a buyer for the failed bank.
Update: Fed now discussing buying banks’ distressed debt and eating the losses to save other banks.
Update: Bailout would be FED loans to all banks at below market interest rates so banks can retire their distressed debt. Taxpayers eat the loss, of course.
Identically illegal to the student loan bailouts. McCarthyshould announce he’ll file for an injunction as soon as they announce it. All of these rich, allegedly elite depositors surely knew only 250k was insured, yet chose to put their stash there anyway. Why should poorer folks bail them out?