Congressman Mark DeSaulnier (CA-10) issued the following statement on the collapse of Silicon Valley Bank.
“I am deeply concerned about the sudden collapse of Silicon Valley Bank and the impact this will have on consumers, workers, responsible business owners, and the Bay Area,” said Congressman DeSaulnier. “In this time of historic income inequality, it is clearer than ever that working Americans must be protected from corporate greed and mismanagement. I will continue to work with my colleagues to ensure the FDIC holds the bank’s leadership and regulators accountable, and that they are doing everything possible to keep customers updated and prevent losses. Moving forward, we must determine what caused this failure and adjust oversight and regulation if needed in order to prevent future collapses.”
The failure happened because Tech is beginning to tank and the entire economy is on the edge of bad recession. Despite what President Biden is claiming the underlying signs indicate trouble ahead
Sorry, but that’s 100% false. SVB failed because they were heavily invested in $21 Billion of US Treasury’s that they bought during a low interest rate environment and were holding them to maturity. But because the FED has been tightening, bond prices have gone down and SVB had a loss on a mark to market basis. Moody’s was about to downgrade their credit rating last week unless they raised capital. The Bank sold off their entire bond portfolio to meet the capital ratio requirements. They also raised $2 Billion in capital during the middle of the week. By then, depositors were spooked and started withdrawing money from their accounts creating a good old fashioned bank “run”…. exaccerbating SVB’s capital ratio problems even further.
Another bank (Signature) in NY failed yesterday and many Regional Banks are under pressure for the same issue. They are getting hurt by their net interest income, which is the difference between revenues generated by interest bearing assets and the cost of servicing (interest burdened) liabilities.
For banks, the assets typically include commercial and personal loans, mortgages, construction loans and investment securities. The liabilities consist primarily of customers’ deposits.
Did he have any money stashed there?
Bailout coming. Money printer go brrrrr!
Blah blah blah.
Oh a politician to the rescue what else could go wrong!
Way to go Mark a little late to the dance but try to squeeze in some brownie points when you’re going to do absolutely nothing about it.
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… only liberals and idiots listen to anything stated by DeSaulnier.
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What else would you expect from a liberal idiot. They are it’s followers
I thought the two were synonymous.
But you repeat yourself………………..
I know what we could do to fix this. Create trillions more dollars out of thin air and firehose it into the economy, making sure to let all the connected players feed at the trough first. What’s good for wall street is goof for America. Too big to fail.
Just opened an account with a local credit union. Diversification at this point would be advisable.
Have used Credit Union for 47 years.
What does he mean when he says, “In this time of historic income inequality?” Doesn’t this man know anything about the history of the United States? Income inequality was at its highest during the first half of the 20th Century. It was under FDR’s wartime policy when Income began to stabilize.
It wouldn’t be a Marky post if it didn’t mention inequality or some other Woke buzzword.
Historic income inequality, HA, HA !!!!! The people running the bank were just stupid and greedy. The boss man (CEO ( was smart, he sold $3.6 million of his stock just days before.
Republican presidential candidate Vivek Ramaswamy is against a bailout for Silicon Valley Bank, which he called “one of the biggest evangelists of DEI and ESG.” When you mix ESG (environmental, social and governance) with DEI (diversity, equity and inclusion), you get the “business ideology” of today’s failed Democrat politicians.
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From Breitbart — https://cutt.ly
Perhaps the congressman could explain what an inverted yield curve is, it’s causes and how biden policies related to fossil fuel production contributed to overall inflation WE THE PEOPLE are struggling thru.
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An as for income inequity, what would wages be if border were sealed.
Importation of cheap labor effects wage growth.
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Further, perhaps he could explain how many members of congress retire after decades on a congressional salary being worth tens of millions of dollars. An why isn’t there a ban on congressional family members buying and selling on Wall Street ? ? ?
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Could congressman respond to this article?
dailymail https://tinyurl.com/462fhh5e
Sorry, but the yield curve has been inverted for an entire year predicting a Recession that hasnt happened.
Inflation was created when the Federal Reserve increased the M2 Money Supply by an unprecedented 40% from February of 2020 to March of 2022.
This is basic Econ. 101a
Dork.
DEI and ESG betraying the very people they claim to want to help.
Now the bailout money will flow, continuing to injure the very people they claim to want to help.
This is NOT a bail-out.
Shareholders have been wiped out and the management team is gone.
Platitudes. Hollow go nowhere comments. Phony remedies.
Old Mark is at it again.
Who gives a Rats Ass on what you say. You also told me at your Town Clown Meeting, the only reason Trump got elected was because of Russia…Liar
How about a Claycord Poll
How many of you are in favor of banning news about Mark on Claycord ?
Thumbs up… Yes
Thumbs down… No
I am not for banning. I mean, we are not all democrats here. Besides, it is desaulnier, so it provides fodder for groans or laughter, as well as providing those who don’t know the current narratives the corrupt party is working on. Like this time, he dusted off the “income inequality” meme. Is that because his aged brain can’t get out that needle of that particular groove, or did the media decide to push harder on this narrative again?
I prefer to see news about Mark. It shows the extent to which America has been hijacked by the grievance industry — he panders to them because they are a strong donor base. Serving the public is not profitable to the Democrat machine. America is on it’s heels. Stories such as this one (from Frontpage), are becoming commonplace: “Nuclear Base Focuses on Diversity, Fails Nuclear Inspection”. https://cutt.ly/C823MIA
I vote “No” to a ban as I oppose all bans and censorship.
“I will continue to work with my colleagues to ensure the FDIC holds the bank’s leadership and regulators accountable” Continue?
Does anyone have an emoji of a clown face I can use to paste over his face in the post for my response so that we’re all sure of what we’re dealing with?
Yes, we really do need a laugh face along side of the thumbs.
So wonderful to be woke . . . .
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‘Home Depot founder Bernie Marcus warns Americans to ‘wake up’ after ‘woke’ Silicon Valley Bank goes bust – because it was ‘more concerned about global warming than shareholder returns” …
“‘I can’t wait for Biden to get on the speech again and talk about how great the economy is and how it’s moving forward and getting stronger by the day. And this is an indication that whatever he says is not true.
‘And maybe the American people will finally wake up and understand that we’re living in very tough times, that, in fact, that a recession may have already started. ” …
Marcus blamed the Biden administration for pushing banks to prioritize ‘diversity and all of the woke issues’ over shareholder returns and suggested that a focus on social policies is now causing banks to be badly run, and failing to protect their shareholders and their own employees.
‘I feel bad for all of these people that lost all their money in this woke bank.
dailymail https://tinyurl.com/ycyuhyhm
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Those of us who were around for carter and clinton remember CRA (community reinvestment act)
[Cue the groupie] might also remember janet reno’s speech Washington Marriott Hotel, 20 March 1998 bragging about “educating” banks
https://tinyurl.com/4t2xzpht
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Is woke and “equity” and “equality” little more than twelve coats of lipstick on the CRA pig? ? ?
Now that’s just great
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“We know we are a stronger company when we have associates from different backgrounds, experiences and perspectives that can help lead us into the future. Whether we are engaging our associates, customers, suppliers or community partners, we are committed to a diverse and inclusive work environment.”
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— Derek Bottoms, Chief Diversity Officer and Vice President, Associate Relations
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https://careers.homedepot.com/culture/
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I guess woke Home Depot is next to go bust.
Go woke, go broke.
A company’s responsibility is to its shareholders- not to the woke agenda pushed by whiny and continually offended liberals.
Can’t recall Home Depot having, month long Pride campaign or a ‘Lesbian Visibility Day’.
dailymail https://tinyurl.com/462fhh5e
They don’t carry Snap-On tools either.
Maybe they just did not invite you OG.
Or just maybe they didn’t have one. Ever think of that? Lots of companies DON’T have these useless DEI programs and “celebrations”.
Think about it.
HD is my last resort for anything….. they don’t know what customer service or even how to spell it
Sadly, Bernie Marcus has no idea what he’s talking about.
The failure of SVB had absolutely nothing to do with ESG or ECO issues.
It’s absolutely shocking just how gullible people are! I guess they never took a banking finance course in college. Here’s a link to an article on why SVB failed for those that wish to educate themselves about Banking.
https://www.businessinsider.com/silicon-valley-bank-failure-what-happened-bank-run-explained-2023-3
Another Soros paid off demon speaking
‘Silicon Valley Bank employees received bonuses hours before government takeover’…
cnbc https://tinyurl.com/36fb73mp
[cue the groupie]
2008 save the banks
2023 save Silicon Valley
Woke is just another word for stealing hard earned $$$ along with BLM, Equality, Racism, the liberal left has plenty of them.
Been reported 93 percent of Silicon Valley Bank’s $161 billion in deposits are uninsured by the Federal Deposit Insurance Corporation (FDIC) covers accounts only up to $250,000. SVB is sizing up to be second largest bank failure in U.S. history.
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Liberal fantasy Utopia takes another hit . . . .
And yet your posts clearly indicate that you have no idea why the Bank failed.
It’s basic Econ. 101a
Too bad Bernie Marcus has no idea what he’s talking about.
The failure of SVB had absolutely nothing to do with ESG or ECO issues.
It’s absolutely shocking just how gullible people are! I guess they never took a banking finance course in college. Here’s a link to an article on why SVB failed for those that wish to educate themselves about Banking.
https://www.businessinsider.com/silicon-valley-bank-failure-what-happened-bank-run-explained-2023-3
He ran a profitable business into the ground and is one of the poorest member of congress, with very little saved.
At least he quit telling us his father killed himself.
The amazing part is that people continue to vote him into office(if the elections are even legitimate, these days).
Oh, look! Go woke – Go broke is true in this case.
“While Silicon Valley Bank collapsed, top executive pushed ‘woke’ programs”
https://tinyurl.com/2kzpp4mg
I hope he hosts a town hall. He’ll need to discuss how the name of the bank should be changed to an indigenous name to honor the people who are from that area. They will need to propose a half percent tax raise to cover the cost of the campaign. He cares so much.
Yellen has announced there will be no bailout while announcing there is a bailout for customer assets. She also claims there will be no cost to tax payers. How anyone can make a claim like this, and how anyone can report it goes to show they believe Americans are complete dullards.
Have they also assured Ukraine this will not cause any cash flow disruption? After all, she did say they’ll continue to fund the war for as long as it takes. Credibility? Zero.
Your reading comprehension is poor.
Depositors will be made whole based on FDIC insurance.
The Bank will not be an ongoing concern, shareholders are wiped out, and the management team toast.
You are the victim of incorrect thinking. May I suggest the Passtrak Series 7: General Securities Representative License study program for a better understanding of the financial services regulatory environment. It will also provide a comprehensive understanding of bonds and therefore a better understanding of how the investment committee of SVB made absolutely “journey person” mistakes.
OMG Yellen is as unbelievable as usual, she needs to be put out to pasture.
I’m unsure how she even keeps her job.
It’s been demonstrated there is only one way for anyone in the Biden Gang to be fired:
Stealing Luggage.
Anything else, no matter how destructive appears to be completely ignored.
As much as Yellen has jumped the shark for financial purposes, she doesn’t hold a candle to Elizabeth Warren. Elizabeth is a hysterical, shrieking, bats*** crazy human; absolutely mad as a hatter. She could give Casper the Friendly Ghost the heebie jeebies. She makes Bernie Sanders seem reasonable. How people like this have a public presence is one of life’s great mysteries.
The irony here is that politicians like Mark dislike banks. They pressure banks to not charge overdraft fees or late fees. Both cost the bank money. It should be reimbursed. At the same time, push for higher wages. Banks (and all businesses are being squeezed from both ends.
Geez, …”time of historic income inequality,” what is the basis for this statement? He didn’t mention the impact to the LGBTQ+ community and communities of color. He missed an opportunity there. So disgusting.