US Treasury Secretary Janet Yellen Reveals Banks Will Get Fed Funding | Bitcoinist.com
17 Mar 2023 3:00 PM
The recent implosion of some US banks spiked mixed reactions among the public. Most customers of both Silicon Valley and Signature Bank feared a possible loss...
- The recent closure of Silicon Valley Bank and Signature Bank caused fear among customers of losing their money.
- Treasury Secretary Janet Yellen assured the public that the government would protect customer deposits in the two failed banks.
- Regulators insured all deposits at the failed banks, including those above the $250,000 limit covered by FDIC insurance.
- The Federal Reserve created a discount window and a limitless facility to help troubled banks faced with increased cash withdrawals.
- Yellen acknowledged that the government is resolute in ensuring the safety of depositors' funds and explained the possibility of covering uninsured deposits if their failure creates systematic risk and significant financial and economic consequences.
- Congress is still in deliberations with possible legislative moves to prevent future bank collapses.
- Acquisition bids are flowing for the failed banks, and some top banks in the US have taken steps to support the failing bank.
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The article presents a mix of negative and positive sentiments. The closure of Silicon Valley Bank and Signature Bank caused fear among customers, but the government's assurance of protecting customer deposits and the Federal Reserve's measures to help troubled banks alleviate the situation. Congress is also considering possible legislative moves to prevent future bank collapses.
What caused fear among customers of Silicon Valley Bank and Signature Bank?
How did the government assure the public of protecting customer deposits in the two failed banks?
What measures did the Federal Reserve create to help troubled banks faced with increased cash withdrawals?
What is Congress deliberating on regarding future bank collapses?
What steps have some top banks in the US taken to support the failing bank?
Silicon Valley Bank
Bank of America Corp
JP Morgan Chase