Crash Monday? SVB contagion, VIX spike

mervyn said:
Liquidity doesn’t matter at this moment, if you have cash in svb, take it out on Monday.

What you need to consider is that at least half of your deposits will not be available anytime soon, that’s the risk. Unless the Feb can repo long dated treasuries at zero discount.
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You know SVB doesn't exist any more, right?
 
ktm said:
You know SVB doesn't exist any more, right?
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the sum of money is still there, cash doesn’t exist, most in long dated treasures. if you can’t repo the treasuries, no one will buy at face value.
 
ktm said:
I keep hearing and reading that they are prepping a statement to be released before the US open tomorrow.

The assets are there, it was just a liquidity issue. The FDIC is looking at guaranteeing a certain percentage of uninsured deposits will be returned over time and making a decent amount available short term. They are working this weekend to get a good number for both based on the value of the holdings.
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Liquidity issue? Svb is a bank; it owns treasuries and government assets. Most liquid assets
 
2rosy said:
Liquidity issue? Svb is a bank; it owns treasuries and government assets. Most liquid assets
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liquid, yes. Not at a good price, that is the problem to begin with. Unless you can pay your employees in treasuries.
 
My thesis is a lot of scared money, both retail and institutional, will hit the tape with moo sell orders Monday.

Especially banking/finance sectors which will plunge markets down. But who knows
 
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