Lithium, the common ingredient in almost all electric-car batteries, has become so precious that it is often called white gold. But something surprising has happened recently: The metal’s price has fallen, helping to make electric vehicles more affordable. Since January, the price of lithium has dropped by nearly 20 percent, according to Benchmark Minerals, even […]
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Stocks in Asia slipped and U.S. stock futures rose slightly after Swiss regulators struck a deal on Sunday to rescue the country’s embattled bank Credit Suisse from the brink of a disorderly bankruptcy that threatened to further roil global markets. The takeover of Credit Suisse by UBS, the largest bank in Switzerland, was meant to […]
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As the value of Credit Suisse stocks and bonds plummeted last week, some investors viewed the sell-off as an opportunity to buy, anticipating that regulators would step in and prevent Credit Suisse from total collapse. They were right. Swiss regulators approved a deal for the bank to be bought by its domestic rival UBS, though […]
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WeWork, the struggling office space company, said on Friday that it had reached a deal with SoftBank and other investors to significantly reduce its debt and secure new financing. The agreement would cancel or convert into equity about $1.5 billion of the company’s debt, reducing WeWork’s total debt to less than $2.4 billion, the company […]
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A tentative sense of relief prevailed among investors on Friday morning following two very different financial rescues the day before: one of a global banking giant in Switzerland and another of a midsize regional lender in San Francisco. The moves to shore up the flailing lenders with injections worth tens of billions of dollars had […]
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Emily Flitter contributed reporting. The Daily is made by Lisa Tobin, Rachel Quester, Lynsea Garrison, Clare Toeniskoetter, Paige Cowett, Michael Simon Johnson, Brad Fisher, Chris Wood, Jessica Cheung, Stella Tan, Alexandra Leigh Young, Lisa Chow, Eric Krupke, Marc Georges, Luke Vander Ploeg, M.J. Davis Lin, Dan Powell, Dave Shaw, Sydney Harper, Robert Jimison, Mike Benoist, […]
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Quantitative tightening is supposed to be boring. That’s by design. It doesn’t demand attention like a bank failure, emergency government rescue, wildly fluctuating interest rates or uncomfortably high inflation. But it is the most important Federal Reserve program you rarely hear about. At its core, it involves reducing the more than $8 trillion — yes, […]
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WASHINGTON — If a number defined the 2010s, it was 2 percent. Inflation, annual economic growth, and interest rates at their highest all hovered around that level — so persistently that economists, the Federal Reserve and Wall Street began to bet that the era of low-everything would last. That bet has gone bad. And with […]
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Upheaval in financial markets continued on Thursday, as investors balanced pockets of turmoil emanating from the banking industry against some semblance of stability returning to the broader market. The S&P 500 opened with a drop, before quickly rallying to a gain of more than 1 percent by midday. The Stoxx 600 index, which tracks shares […]
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First Republic Bank, a midsize lender whose shares have plunged this week amid broader banking turmoil, is exploring extreme measures including a possible sale, a person familiar with the matter said, indicating that the bank’s moves over the weekend to strengthen its balance sheet may not have been enough to calm investors’ concerns. The bank […]
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The collapse of three midsize banks last week continues to reverberate across the U.S. financial system, with the focus turning to smaller lenders that investors think may wobble if nervous depositors decide to move their money to bigger institutions. These regional banks have battled market turmoil throughout the week, and faced renewed pressure on Thursday. […]
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The upheaval in financial markets showed few signs of abating on Thursday, as investors weighed whether the turmoil in the banking industry in the United States and Europe would drag down the global economy. Just after midnight in Zurich, Credit Suisse — “a global systemically important bank” in its own words — said it would […]
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As an adviser to Silicon Valley Bank, Goldman Sachs tried to pull off a last-minute capital raise last week to save the bank from collapse. But the Wall Street giant also had another role in the bank’s final days, for which it is expected to collect a huge fee: It bought a cache of the […]
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The Swiss National Bank, the country’s financial regulator, said on Wednesday that it would financially support Credit Suisse, if necessary, after the bank’s stock price plunged to a record low a day after it had warned of problems in its financial reports. A decline of about 24 percent in Credit Suisse’s shares raised new worries […]
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Shares in Credit Suisse tumbled to a record low on Wednesday, leading a brutal day for banking stocks, as the embattled Swiss lender’s biggest shareholder said it would not make further investments in the firm. A plunge of nearly 27 percent in Credit Suisse’s shares raised new worries about the banking industry on a day […]
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Stock markets tumbled on Wednesday, as investors’ fears over the health of the banking industry resurfaced with force, and spread around the world, undoing a rally on Tuesday when the panic appeared to pause. European markets were hard hit, with stocks of many of the region’s biggest banks falling sharply. Premarket trading in the United […]
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On March 10, Silicon Valley Bank, one of the most prominent lenders in the start-up ecosystem, collapsed. Federal regulators stepped in to allay fears and limit risk in the broader financial system. Here is a timeline of major events related to the bank’s collapse and its aftermath. March 8 Silvergate Capital, a cryptocurrency-focused bank, announced […]
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Wall Street’s worries eased on Tuesday, as investors took comfort from signs that a potential banking crisis appeared contained and bet on a more supportive environment for the economy going forward. The S&P 500 rose 1.7 percent, lifted by a recovery in some bank stocks and bolstered by gains for heavyweights like Microsoft and Apple, […]
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After nearly a week of tumult, the specter of a billowing crisis over the banking industry appeared to ease, at least for the moment, as pressure lifted on the midsize and regional lenders most in peril. Shares of First Republic, which over the weekend had been forced to slap together a multibillion dollar rescue package […]
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The Justice Department has opened an investigation into the collapse of Silicon Valley Bank, the California lender that was taken over by federal regulators on Friday after its depositors rushed to pull their money out of the bank, two people with knowledge of the matter said. The investigation is in its early stages and it […]
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Regional bank stocks, some of which lost nearly half their value on Monday, rebounded in early trading on Tuesday, helping Wall Street to recover and offering a pause in the market panic over the health of the financial system. The S&P 500 rose 1.5 percent in morning trading, recouping some of its losses from the […]
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Regulators decided to shut down Signature Bank after it “failed to provide reliable data and created a lack of confidence in the bank’s leadership,” said Adrienne A. Harris, New York State’s superintendent of financial services. The Downfall of Silicon Valley Bank One of the most prominent lenders in the world of technology start-ups collapsed on March […]
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SIPC does not cover unregistered investment contracts, unregistered limited partnerships, fixed annuity contracts, currency, and interest in gold, silver or other commodity futures contracts or commodity options, according to SIPC. Why were investors worried about Schwab? Shares of Charles Schwab, the giant retail brokerage, plunged on fears that it, too, could be swept up in […]
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David Gelles contributed reporting. The Daily is made by Lisa Tobin, Rachel Quester, Lynsea Garrison, Clare Toeniskoetter, Paige Cowett, Michael Simon Johnson, Brad Fisher, Chris Wood, Jessica Cheung, Stella Tan, Alexandra Leigh Young, Lisa Chow, Eric Krupke, Marc Georges, Luke Vander Ploeg, M.J. Davis Lin, Dan Powell, Dave Shaw, Sydney Harper, Robert Jimison, Mike Benoist, […]
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Second, it’s possible that Silicon Valley Bank’s extremely online clientele may have contributed to its downfall. Kevin Roose and Casey Newton are the hosts of Hard Fork, a podcast that makes sense of the rapidly changing world of technology. Subscribe and listen. At most normal, midsize regional banks, what happened at S.V.B. probably wouldn’t have […]
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Flush with cash from high-flying start-ups, it bought huge amounts of bonds more than a year ago, just before the Federal Reserve began to raise interest rates. Like its peers, Silicon Valley Bank kept just a fraction of the deposits on hand and invested the rest with the hope of earning a return. In particular, […]
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The debate on Wall Street over the prospects for the American economy moved decidedly back toward the gloomy this week, as investors again recalibrated their expectations for how high interest rates could go. The shift came after the Federal Reserve’s chair, Jerome H. Powell, speaking to lawmakers on Tuesday, said the central bank might have […]
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Panic swept through the start-up industry on Thursday as investors at some venture capital firms urged portfolio companies to move their money from Silicon Valley Bank over concerns about the tech industry stalwart’s financial stability. Silicon Valley Bank’s spiral was set off by its surprise announcement Wednesday that it would take extraordinary and immediate steps […]
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If you haven’t put money into an individual retirement account for 2022, do it before the April deadline. That’s a standard tax tip for investors this time of year. And it does make sense to stash as much money as you can manage in tax-sheltered accounts of one variety or another. The Internal Revenue Service […]
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Stocks slumped Friday on their way to their worst week of the year, as investors balked at fresh government data that added to a flurry of signals showing a resurgence in inflation. The S&P 500 fell by around 1.3 percent in midday trading, setting the stock index up for a third straight week of declines […]
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Bow-tied bankers do not often sue a state’s lawyer in chief. So when it does happen, it’s time to pop the popcorn and gather around to watch. In October, Kentucky’s attorney general ordered some of the nation’s biggest banks and investment firms to turn over piles of documents that had the word “climate” or “environmental” […]
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