Sort of burying the lede - also states that all SVB depositors will be made whole along with Signature depositors.
> We are also announcing a similar systemic risk exception for Signature Bank, New York, New York, which was closed today by its state chartering authority. All depositors of this institution will be made whole. As with the resolution of Silicon Valley Bank, no losses will be borne by the taxpayer.
To me, that last sentence about SVB is distinct and separate and not implying that the previous sentence about Signature depositors applies to SVB. But you could be right as well, I don't think it's clear.
"After receiving a recommendation from the boards of the FDIC and the Federal Reserve, and consulting with the President, Secretary Yellen approved actions enabling the FDIC to complete its resolution of Silicon Valley Bank, Santa Clara, California, in a manner that fully protects all depositors. Depositors will have access to all of their money starting Monday, March 13. No losses associated with the resolution of Silicon Valley Bank will be borne by the taxpayer."
it relies on the following paragraph to be explicit that all depositors will be made whole and will not lose any money
> will have access to all of their money
Maybe the should have added
> will not lose any money
Third time’s a charm!
I find this to be an odd moment in internet history, a lot of its senior elders seem to have forgotten the odd effects it has on discourse and are unintentionally leaning into it
This decisive action by the government (both ensuring depositors will be made whole immediately, and the Federal Reserve giving out extra liquidity) should ensure that the contagion doesn't spread any further though, an banks like First Republic will avoid going under as well.