Silicon Valley Bank (SVB) Failure
March 10, 2023 – Today’s news about Silicon Valley Bank (SVB) took everyone by surprise. In the span of just a few hours, the country’s 16th-largest bank went into FDIC receivership. Most of you will not have heard of SVB prior to today — they mostly serve as a corporate banker, predominantly in the venture […]
Catalysts, Consequences, Contagion (Triple CCC)
By Stuart Katz, CIO March 10, 2023 What Yesterday, bank stocks declined, triggered partly by an item on the list of SEC disclosures by SVB Financial (stock declined 63%), owner of Silicon Valley bank (the 16th largest bank in the US with $210 billion in assets). These disclosures included a substantial capital raise to shore […]
The Unexpected Wrinkle
March 10, 2023 Good morning, The much-anticipated monthly employment numbers came out this morning. While headline job growth was an upside surprise at +311k vs +225k expected (too hot), the unemployment number rose more than expected to 3.6%, up +0.2%. That unemployment number and lower than expected wage growth trumped jobs growth, and the overall […]