Fed Chair Powell Warns of “Bumpy” Fight Against Inflation, Stock Markets React
Jerome Powell, the Chair of the Federal Reserve, declared before the Senate Banking Committee on Tuesday that the Fed is ready to step up the rate of hikes if the economic figures remain strong.[0] This is in response to the latest economic data that has come in stronger than expected, indicating that the ultimate level […]
Continue reading Silicon Valley Bank Collapses, FDIC Steps In to Assist Depositors
On Friday, March 10th, 2023, the California Department of Financial Protection and Innovation closed Silicon Valley Bank (SVB), appointing the Federal Deposit Insurance Corporation (FDIC) as receiver.[0] This was the second-largest bank failure in U.S. history and a huge blow to the tech industry, where SVB had become a fixture in the venture capital space […]
Continue reading Silicon Valley Bank Collapses: FDIC Takes Over and Assists Depositors
On Friday, March 10th, 2023, Silicon Valley Bank (SVB) was closed by regulators and taken over by the Federal Deposit Insurance Corporation (FDIC).[0] This marked the second-largest failure of a financial institution in US history, and sent shockwaves throughout the tech industry, which relied heavily on the bank for financing.[1] Founded in 1983, Silicon Valley […]
Continue reading Biden Unveils Budget Plan: Tax Increases on Wealthy and Corporations, Military Pay Raise, and Record Levels of Debt
President Joe Biden unveiled his budget on Thursday, a sweeping blueprint that includes proposals to increase taxes on corporations and wealthy Americans to revive many of the tax policy ideas of the Build Back Better Act.[0] The budget has no chance of getting passed by Congress, but it signals Biden’s commitment to creating a fairer […]
Continue reading ECB and Fed Set to Make Crucial Rate Decisions
The European Central Bank (ECB) looks set to hike interest rates by another 50 basis points at its meeting on Thursday, taking the deposit rate to 3.00%.[0] This would be the third straight hike of 50 bps, bringing the total increase since July to 300 basis points in a bid to tame inflation. The path […]
Continue reading First Republic Bank Raises $125 Million to Strengthen Balance Sheet Amidst Silicon Valley Bank Collapse
Amidst the chaos of Silicon Valley Bank’s collapse, First Republic Bank and PacWest Bancorp have seen their share prices plunge as much as 61% and 53%, respectively.[0] In response, Republic First Bancorp, Inc. has entered into a private fundraising agreement to raise $125 million, which is expected to close in May of this year.[1] The […]
Continue reading February US Jobs Report: Hot Economy and Rising Unemployment Rate
The US economy added 311,000 jobs in February, the Labor Department said on Friday, continuing a hot hiring streak that has underpinned the country’s tight labor market.[0] The unemployment rate went up to 3.6%, higher than what was anticipated at 3.4%, with the labor force participation rate also increasing to 62.5%, its highest since March […]
Continue reading Li Qiang Elected as New Premier of China
BEIJING — Li Qiang, the former Communist Party chief of Shanghai, is the new premier of China. He was elected to the position at the National People’s Congress on Saturday morning, receiving a vote of 2,936-3, with eight abstentions.[0] Li Qiang, 63, is a close ally of Chinese President Xi Jinping, and will now be […]
Continue reading Silicon Valley Bank Implodes: Tech Startups Scramble to Figure Out Financial Exposure
On Friday, March 10th, 2023, Silicon Valley Bank (SVB) became the second-largest bank failure in US history.[0] Founded in 1983, SVB had become a key lender for tech startups, with clients such as Airbnb, Stripe and Coinbase.[1] It was the 16th largest bank in the U.S., with $210 billion in assets.[2] The meltdown of SVB […]
Continue reading European Central Bank Poised to Raise Rates as Global Inflation Remains High
The European Central Bank (ECB) is widely expected to raise interest rates by 50 basis points, taking the deposit rate to 3.00%.[0] This would be the third consecutive hike of 50bps, and the highest rate since 2008. There is a growing split between the hawks and the doves within the Governing Council, leaving the path […]
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