The looming economic question remains whether the Fed can execute its soft landing—in other words, cool inflation without sending the economy into a recession.
Americans have suddenly witnessed three very large bank failures in only a few days’ time. The first was the collapse last week of Silvergate, also known as “the Crypto bank.” Soon after, we read the news of both Silicon Valley Bank (SVB) and Signature Bank collapsing. These are some of the largest bank failures in U.S. history. What is going on here? Should we be worried? Is another financial crisis on the horizon? The short answer is no.
As we encounter another downswing in the ongoing bear market, it’s only natural to be concerned and ask questions.