Silicon Valley Bank collapse. Warning sign for US finance?

A security guard stands outside of the entrance of the Silicon Valley Bank headquarters in Santa Clara, California, U.S., March 13, 2023.

A security guard stands outside of the entrance of the Silicon Valley Bank headquarters in Santa Clara, California, U.S., March 13, 2023. Photo by REUTERS/Brittany Hosea-Small.

Silicon Valley Bank is the largest bank to fall since the 2008 financial crisis. The regional institution, which had $200 billion in assets, was a favorite for tech start-ups and venture capital firms. However, clients began pulling their money as rumors swirled that the bank was facing a cash crunch. Then on Sunday, regulators shut down Signature Bank, a New York regional bank. Panic is now spreading as Americans wonder if this could lead to another financial crisis. President Joe Biden says the American financial system is safe. 

Credits

Guest:

  • Zach Warmbrodt - financial services editor and “Morning Money” newsletter writer, Politico

Host:

Madeleine Brand

Producers:

Sarah Sweeney, Angie Perrin, Michell Eloy, Amy Ta, Brian Hardzinski, Bennett Purser, Marcelle Hutchins