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[ad_1] Stocks rebound as Yellen testifies on banks Yellen testifies on Capitol Hill as bank stocks see slight rebound 05:51 Treasury Secretary Janet Yellen will tell America's top banking lobby Tuesday morning that the government has a playbook if other financial institutions, like Silicon Valley Bank, collapse and pose a risk to banking sector. In a speech to the American Bankers Association, Yellen discusses the government's emergency rescue of SVB and Signature Bank 's depositors — and says similar action could be taken in the event of a bank run.  "The steps we took were not focused on aiding specific b...

[ad_1] In what is by now a familiar pattern, the fate of another regional lender hangs in the balance as investors bail from the sector following the sudden collapse of three prominent banks in a matter of weeks.  Shares of PacWest Bancorp crumbled after the close of trading on Wednesday, diving 55% to $2.88 amid a report by Bloomberg News that the $44 billion bank is weighing its strategic options, including a possible sale. The market drop followed a 28% plunge in Los Angeles-based PacWest's stock price the previous day.  PacWest, whose shares are down 78% over the last three months, has hired a financial adviser and is also considering a breakup or trying to raise capital, according to Bloomberg. Wall Street has grown increasingly wary of midsize lenders since the March 10 collapse of Silicon Valley Bank  (SVB) and the failure only days later of Signature Bank after depositors rushed to withdraw their money.  As investors soured...

[ad_1] During the 2008 financial crisis, so-called too-big-to-fail banks were deemed too large and too intertwined with the U.S. economy for the government to allow them to collapse despite their role in causing the subprime loan crash. Yet 15 years later, the forced sale of 166-year-old Credit Suisse — one of 30 banks around the world designated by regulators as "globally significant," as well as the startling failure of regional lender Silicon Valley Bank (SVB) — are rekindling concerns about the risk of financial institutions defined as too big to fail.  One thing that's changed in the intervening years since the housing bust: The nation's largest banks have only grown larger. JPMorgan Chase now has $2.6 billion in assets, a 16% increase from 2008, while Bank of America's assets have jumped 69% to $3.1 trillion. At the same time, lawmakers in 2018 weakened the post-crisis regulations enacted in what came to be known as Dodd-Frank, a sweeping law pa...

[ad_1] BENGALURU: United States (US) lawmakers met with the Federal Reserve and Federal Deposit Insurance Corporation on Friday to discuss the collapse of Silicon Valley Bank (SVB) Financial Group, Coindesk reported on Saturday citing a source. Democratic US Representative Maxine Waters held briefings with officials from the two regulators and the Treasury Department, hours after the startup-focused SVB’s collapse, the report said. The report comes after SVB collapsed on Friday in the largest bank failure since the 2008 financial crisis, roiling global markets and stranding billions of dollars belonging to companies and investors. Separately, Representative Ro Khanna said in a tweet on Friday that he reached out to both the White House and the Treasury Department to discuss the situation with the bank. US Treasury Secretary Janet Yellen on Friday met with banking regulators on the collapse of SVB, as she and the White House expressed confidence in their abilities to respond ...