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The Fed may provide as much as $2 trillion in liquidity relief for banks after the SVB collapse, JPMorgan says

Federal Reserve Board Chair Jerome Powell. Win McNamee/Getty Images
The Fed's Bank Term Funding Program may inject $2 trillion into US banking, JPMorgan said.
The emergency lending mechanism was created after SVB's failure to help prevent similar bank runs.
"The usage of the Fed's BTFP is likely to be big," JPMorgan said.
After the collapse of three lenders last week, the Federal Reserve may inject up to $2 trillion into the banking system, according to a Wednesday note from JPMorgan Chase. The estimate comes after the central bank's weekend announcement that it's creating an emergency...
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Wharton Professor Jeremy Siegel says the SVB collapse could be a good thing - if it 'knocks some reality' into the Fed to pause rate hikes

10 days ago | By Business Insider

Scott Mlyn/CNBC/NBCU Photo Bank/NBCUniversal via Getty Images
The SVB crash could be good for markets if it forces the Fed to pause rate hikes, Jeremy Siegel said.
The economist has blasted central bankers over rate hikes, which he says raise the odds of recession.
SVB's implosion is a consequence of rising interest rates, and the Fed needs to take it as a wake up call, he said.
The Silicon Valley Bank implosion could actually be a good thing for markets - if Federal Reserve officials take the bank's failure as a wake up call and finally pause their interest rate hikes, according to...
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European authorities slam 'total and utter incompetence' of US regulators in handling SVB collapse

11 days ago | By Business Insider

(Photo by Nikolas Liepins/Anadolu Agency via Getty Images)
European regulators have slammed the US response to SVB's collapse, per a FT report.
One regulator called it a "joke," and another said it showed "total and utter incompetence."
That comes after the US guaranteed all SVB deposits, even those over $250,000.
European authorities have slammed US regulators for their handling of the Silicon Valley Bank collapse, according to the Financial Times. In particular, they pointed to US guarantees on all SVB deposits , even those exceeding the typical $250,000 limit. One European official was...
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