{"id":565366,"date":"2023-03-18T08:33:15","date_gmt":"2023-03-18T05:33:15","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/more-186-us-banks-well-positioned-for-collapse-svb-analysis-reveals\/"},"modified":"2023-03-18T08:33:15","modified_gmt":"2023-03-18T05:33:15","slug":"more-186-us-banks-well-positioned-for-collapse-svb-analysis-reveals","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/more-186-us-banks-well-positioned-for-collapse-svb-analysis-reveals\/","title":{"rendered":"# More 186 US banks well-positioned for collapse, SVB analysis reveals"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3beeea61f52\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3beeea61f52\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/more-186-us-banks-well-positioned-for-collapse-svb-analysis-reveals\/#%E2%80%9D_More_186_US_banks_well-positioned_for_collapse_SVB_analysis_reveals_%E2%80%9C\" >&#8221; More 186 US banks well-positioned for collapse, SVB analysis reveals &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_More_186_US_banks_well-positioned_for_collapse_SVB_analysis_reveals_%E2%80%9C\"><\/span>&#8221; More 186 US banks well-positioned for collapse, SVB analysis reveals &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div class=\"post-content\" data-v-48054ca8>The perfect mix of losses, uninsured leverage and a greater loan portfolio, among other factors, resulted in the fall of Silicon Valley Bank (SVB). Comparing SVB\u2019s situation with other players revealed that nearly 190 banks operating in the United States are at potential risk of a run.<\/p>\n<p>While SVB\u2019s collapse came as a reminder of the fragility of the traditional financial system, a recent <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/papers.ssrn.com\/sol3\/papers.cfm?abstract_id=4387676\">analysis<\/a> by economists showed that a large number of banks are just uninsured deposit withdrawals away from a devastating collapse. It read:<\/p>\n<blockquote><p>\u201cEven if only half of uninsured depositors decide to withdraw, almost 190 banks are at a potential risk of impairment to insured depositors, with potentially $300 billion of insured deposits at risk.\u201d<\/p><\/blockquote>\n<p>Monetary policies penned down by central banks can have a negative impact on long-term assets such as government bonds and mortgages, which can, in turn, create losses for banks. The report explains that a bank is considered insolvent if the mark-to-market value of its assets \u2014 after paying all uninsured depositors \u2014 is insufficient to repay all insured deposits.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/abe0f71f-9959-43c4-9671-00481a225095.png\"><figcaption style=\"text-align: center;\"><em>Largest insolvent institutions if all uninsured depositors run. Source:\u00a0papers.ssrn.com<\/em><\/figcaption><\/figure>\n<p>The data in above graph represents the assets based on bank call reports as of Q1, 2022. Banks in the top right corner, alongside SVB (with assets of $218 billion), have the most severe asset losses and the largest runnable uninsured deposits to mark-to-market assets. <\/p>\n<p>The recent rise in interest rates, which brought down the U.S. banking system\u2019s market value of assets by $2 trillion, combined with a large share of uninsured deposits at some U.S. banks, threatens their stability.<\/p>\n<p>\u201cRecent declines in bank asset values significantly increased the fragility of the US banking system to uninsured depositors runs,\u201d the study concluded.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Breaking: SVB Financial Group files for Chapter 11 bankruptcy<\/em><\/strong><\/p>\n<p>As the federal government steps in to protect the depositors of SVB and Signature Bank, President Joe Biden assured no impact on taxpaying citizens.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Thanks to actions we&#8217;ve taken over the past few days to protect depositors from Silicon Valley and Signature Banks, Americans can have confidence that our system is safe.<\/p>\n<p>People\u2019s deposits will be there when they need them \u2013 at no cost to the taxpayer.<\/p>\n<p>\u2014 President Biden (@POTUS) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/POTUS\/status\/1635304713288667136?ref_src=twsrc%5Etfw\">March 13, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>However, many pointed out to Biden on <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Twitter<\/a> <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/billie4congress\/status\/1635337838513504257\">that<\/a> \u201ceverything you do or touch costs the taxpayer!\u201d<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/more-186-us-banks-well-positioned-for-collapse-svb-analysis-reveals\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; More 186 US banks well-positioned for collapse, SVB analysis reveals &#8220; The perfect mix of losses, uninsured leverage and a greater loan portfolio, among other factors, resulted in the fall of Silicon Valley Bank (SVB). Comparing SVB\u2019s situation with other players revealed that nearly 190 banks operating in the United States are at potential&#8230;<\/p>\n","protected":false},"author":1,"featured_media":565367,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/cdn-cgi\/image\/format=auto,onerror=redirect,quality=90,width=1200\/https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/2a0b01f3-41c0-4ad9-bfab-d5cc3d64f38b.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74888,75022,141269,74355,4978,71939,117,33355],"class_list":["post-565366","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-banking","tag-central-bank","tag-svb","tag-adoption","tag-bankruptcy","tag-banks","tag-business","tag-silicon-valley"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/565366","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=565366"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/565366\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/565367"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=565366"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=565366"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=565366"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}