Innes attributed the mixed reaction to other factors weighing on markets, including a strong yen in Japan “weighing on exporters” there and continued uncertainty among global investors over the Fed’s interest rate policy.īank shares in Asia were under pressure Monday, following a heavy rout for their US and European counterparts late last week. (HSI) closed up 2%, while the Shanghai Composite In Australia, the S&P/ASX 200 ended 0.5% lower. (KOSPI) initially fell in morning trade, before reversing course to stand 0.7% higher. The losses were led by Japan’s benchmark Nikkei The FTSE-listed bank’s stock fell 3.5% in European trade.Īsia-Pacific stocks were mixed as investors digested news of the US regulatory efforts. (FTRXX) Monday that it had bought the UK arm of SVB for £1 ($1.2), saying the business’s customers could “continue to bank as usual” and that their deposits were safe. Stocks sank despite an announcement by HSBC The Stoxx Europe 600 Banks index, which tracks 42 big European banks, fell 5%, clocking its biggest fall since March 2021. (SXXL) dropped 2.5% Monday morning, while London’s FTSE 100 Intervention by the US authorities to stem the fallout from SVB’s collapse has done little to calm investors across the pond.Įuropean stocks ticked down in early morning trade as a selloff in bank stocks, which began Thursday, continued apace. “It’s not so much the risk of bank defaults as it is the investor fear that is contagious, so the backstop reduces investor panic mode.” “Cross-asset traders of all stripes are heaving a sigh of relief as bank runs have a tendency to catch on globally,” he told CNN.

Investors around the world visibly exhaled after the announcement, according to Stephen Innes, managing partner of SPI Asset Management, who likened it to “the calvary” coming to the rescue. The US Federal Reserve will also make additional funding available for eligible financial institutions to prevent runs on similar banks in the future. US regulators say SVB customers will be made whole as second bank failsīy guaranteeing all deposits, even the uninsured money that customers kept with the banks, the government aimed to prevent more bank runs and to help companies that deposited large sums with the banks to continue to make payroll and fund their operations. Photographer: David Paul Morris/Bloomberg via Getty Images David Paul Morris/Bloomberg/Getty Images SVB Financial Group bonds are plunging alongside its shares after the company moved to shore up capital after losses on its securities portfolio and a slowdown in funding. CNN Sans ™ & © 2016 Cable News Network.Silicon Valley Bank headquarters in Santa Clara, California, US, on Thursday, March 9, 2023.

Market holidays and trading hours provided by Copp Clark Limited. All content of the Dow Jones branded indices Copyright S&P Dow Jones Indices LLC and/or its affiliates. Standard & Poor’s and S&P are registered trademarks of Standard & Poor’s Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Chicago Mercantile: Certain market data is the property of Chicago Mercantile Exchange Inc. US market indices are shown in real time, except for the S&P 500 which is refreshed every two minutes. Your CNN account Log in to your CNN account

Dow futures now live