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Silicon Valley Bank was shuttered by US regulators on Friday after a rush of deposit outflows and a failed effort to raise new capital called into question the future of the tech-focused lender. With about $209bn in assets, SVB has become the second-largest bank failure in US history after the 2008 collapse of Washington Mutual,
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Well, it’s over. A bank that was the 16th largest in the US by assets has been shuttered and taken over by regulators, just two days after it announced a $2.25bn capital raise after selling nearly all of its available-for-sale bond portfolio. From the FDIC just now: WASHINGTON – Silicon Valley Bank, Santa Clara, California,
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The writer is the author of ‘Two Hundred Years of Muddling Through: The Surprising Story of the British Economy’ Last autumn, during the short-lived terms of Liz Truss and Kwasi Kwarteng, British fiscal policy became exciting. The pair rejected what they considered to be “stale Treasury orthodoxy” and made the largest package of discretionary tax
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US jobs growth slowed in February from the breakneck pace of the previous month, but remained elevated enough to keep pressure on the Federal Reserve to consider switching back to bigger interest rate rises. The world’s largest economy added 311,000 jobs last month, higher than the 225,000 jobs forecast by economists but less than January’s
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You can tell how much someone loved something by how upset they are to lose it. When Mondelez announced this week that it was replacing the Matterhorn symbol on its Toblerone chocolate bars with “a modernised and streamlined mountain logo”, it did not sound that bothered. The US confectionery and snacks group has to change
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The UK economy rebounded by more than expected in January, driven by growth in the services sector, according to official statistics published ahead of the Budget next week. Gross domestic product rose 0.3 per cent between December and January, following a contraction the previous month, the Office for National Statistics said on Friday. This was
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Good morning. Welcome to jobs day. Forecasters think there were 205,000 jobs added in February. They thought something similar last month, before the real January number, more than half a million jobs, blew everyone away. Since then, many have taken to waving away strong January data as a warm-winter fluke. Another bumper payrolls report today
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The writer is a former global head of asset allocation at a fund manager Time and time again, betting against Japanese government bonds has cost traders untold fortunes. The pay-off for going short on JGBs has always looked tempting and risks asymmetric. Potential losses appear limited given that yields, which move inversely to prices, cannot
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Silicon Valley Bank shares plunged 60 per cent on Thursday, a day after launching a $2.25bn stock sale to shore up its balance sheet as it grapples with declining deposits from technology start-ups. Shares of SVB Financial Group, Silicon Valley Bank’s parent company, registered their biggest-ever decline, wiping $9.6bn from the banking group’s market capitalisation,
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The financial sector has been, uh, thoroughly spooked by a 60-per-cent single-day slide in the shares of SVB Financial, the holding company for Silicon Valley Bank. SVB hasn’t done much better in after-hours trading, sliding more than 20 per cent after reports that venture capital firms such as Founders Fund (co-founded by Peter Thiel) are
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