state regulators wasting little time to take possession of silicon valley earlier today before a sudden cash crisis risks becoming a bigger one. then just as quickly reassuring investors their money was safe. the fdic taking control of silicon valley bank s deposits and letting customers know that they would have access to their funds by monday morning. it was all meant to avoid a run on the deposits and one that could spread. neither happened today. janet yellen said she was watching silicon and a few other banks she didn t name very carefully. other government officials stressing that silicon s case was very unique. in the case of silicon, it happened very fast after announcing a big loss on the bond holdings earlier this week. most of the bonds were bought long before the aggressive rate hikes that began almost a year ago. meaning those investments were underwear as bond prices declined and silicon was struck. today s strong employment report showing a bigger than expected
shares in the swiss banking giant credit suisse fall to a record low as investors remain worried after the collapse of silicon valley bank. a high court in pakistan orders police to halt their operation to arrest former prime minister imran khan until thursday, following clashes between police and his supporters. conflicting accounts from washington and moscow as a us drone crashes into the black sea after an encounter with russian fighter jets. and a small number of wolves settle in belgium for the first time in more than 100 years as numbers rise across europe. hello. we start here in the uk where the chancellorjeremy hunt has been setting out his budget, pledging to build for the future . the uk economy is set to shrink this year, but it is no longer expected to enter a recession. mr hunt also says the inflation forecast is to fall from above 10%, to just under 3% by the end of 2023. but the labour leader, sir keir starmer, accuses the government of dressing up stagnat
and his supporters. we start with the troubled global banking sector. european markets have closed down more than three percent, spooked by a major sell off of shares in the swiss banking giant, credit suisse. coming days after the collapse of us based silicon valley bank, it s prompted fears of a full blown crisis in the sector. let s take a look at the damage at the close in europe today. shares in credit suisse plunged to a record low, falling 24%. that came after its biggest investor said it could not give the bank any more financial help. here in the uk, the insurer prudential tumbled 10%, and the high street bank barclays, 8%. the plunge by banking stocks left london s ftse 100 down almost 4% at its lowest level this year. it was the index s worst one day performance since the start of the covid 19 pandemic. taking a closer look at credit suisse today was the second day of sharp falls for its shares after the swiss bank yesterday disclosed that its auditor had identif
top of the hour this monday, big day for banks. i m erica hill, and the president is speaking to americans with a calm an reassuring tone on the heels of two failing banks over the weekend, and sparking concerns about whether it could lead to more. his message with the american banking system is safe. all customers who had deposits in these bans ks can rt assured they will be protected and access to their money today. that means that those who bank there and need to make payroll and pay bills and stay open for business, and this is an important point, no losses will be borne by the taxpayers. and the president is vowing major changes by the white house, and forced to take emergency action with more than $200 billion worth of deposits into the line to keep other banks from failing. matt egan and m.j. lee come in to join us, and with the action of the u.s. treasury and others to make sure that they ensure beyond the threshold and the president getting out there to say we
Morning, bloomberg surveillance on bloomberg tv and radio. Your equity markets are highly unchanged. We start in the bond market, twoyear, fiveyear, 10 year, 30 year. Cycle highs. Tom global wall street is focused and quickly nonglobal wall street will get focused. There has been a shift. It could be because of israel or this, that, or the other thing. Statistically we reached a tipping point. Jonathan is this a substitute for further reaction from the Federal Reserve . Lisa you will be speaking today at noon. Yesterday tom barkan said that the problem with allowing the long and to do the work for you is that it moves. Although right now it seems to be moving in a more restrictive place. Im curious. The fact that we had risk off yesterday and at the same time we saw bond yields reach the highest levels going back 16 or 17 years across the curve, what does that tell you about the new haven status about the treasury market . That is going to be an underlying angst. Jonathan the communica