The SVB Collapse was a Tale Foretold Trusted Policy Intelligence / Conseils de politiques dignes de confiance

The joint statement and decisive action of the Treasury, Federal Reserve Board and the FDIC might shore up confidence. [...] Clearly the plan is to use the FDIC’s fund to keep everyone whole and then likely jack up deposit insurance premiums for everyone else to replenish the fund. [...] It was a failure by the board and regulators to deal with the fact that after adjusting for mark to market the bank had almost no capital. [...] The Office of the Superintendent of Financial Institutions has taken over the local SVB branch, a corporate lending branch that holds no deposits. [...] For the time being, the situation with SVB looks contained with the notable exception of Signature Bank.