LIVE: Silicon Valley Bank's collapse has spooked investors and sent shockwaves through markets. Here's the latest news, what experts are saying, and what it all means.

Theron MohamedMar 13, 2023, 17:23 IST

Silicon Valley Bank's HQ in Santa Clara, California.Getty Images

We're live-blogging the fallout from Silicon Valley Bank's collapse last week.
US authorities have guaranteed the lender's deposits and promised its customers will be made whole.

Good morning from London. We're live as Silicon Valley Bank's collapse continues to rattle investors and stoke fears of further bank runs and financial catastrophe.

The US Treasury, Federal Reserve, and the Federal Deposit Insurance Corp. helped assuage those worries on Sunday by announcing deposits at the country's 16th-largest bank would be guaranteed, and the bank's customers would have access to all of their money on Monday. The FDIC took control of SVB on Friday, while the Fed plans to offer loans to banks and other deposit holders in case they face a wave of withdrawals.

Some experts have celebrated the intervention as necessary to prevent a crisis. Others have warned it could encourage banks to be more reckless, and SVB might be the first of several institutions to fail.

Follow along for the latest developments, analysis of what it all means, and what the likes of Bill Ackman, Michael Burry, Mark Cuban, Paul Krugman, and Elon Musk are saying.

Bill Ackman says he's relieved

Mohamed El-Erian flags "eye-popping" volatility

Jeffrey Gundlach rings the recession alarm

Keep scrolling for our coverage of the big news and commentary before SVB's deposits were guaranteed:

David Friedberg expects lower rates and higher prices

"The first cockroach in the cellar"

The Wall Street Journal reported on Sunday that SVB could be the first of several banks to be exposed, and other smaller US banks could see an exodus of cash.

"I think this could be the first cockroach in the cellar," Fredric Russell, the boss of an investment manager, told WSJ. "Banks get thrown into the dark pool of complacency, and then they lower their quality standards."

"If the resolution of SVB Financial isn't handled well, there's a systemic risk that uninsured depositors will flee small banks," Bob Elliott, the cofounder and chief investor of asset manager Unlimited, told the newspaper.

Gary Cohn calls for depositors to get their money back

Bill Ackman flags the risk of a wave of bank runs

Mark Cuban says consumers and businesses shouldn't suffer from a bank's failure

Jim Chanos warns a bailout could be political ammunition

Nouriel Roubini says the Fed might hold off on hiking interest rates

David Sacks calls for SVB depositors to be made whole

Michael Burry compares SVB to Enron, and says the next WorldCom is coming

Paul Krugman dismisses comparisons of SVB to Lehman Brothers

Key things to know about Divgi TorqTransfer Systems IPO that opens on March 1

Cookies on the Business Insider India website