The FDIC has taken control of the bank. In their last bond offering SVB lost 1.8bn$ from a 21bn$ sale. 8.5% seems like more than a haircut... and 8+% to get the money you need now is a steep cut that will result in larger consequences.
8% might seem like a stubbed toe, but these are _bonds_. You aren't suppose to lose anything. 8% inflation, 8% from bank failure and add-on the additional losses from non-bond related issues... S&P500 at 1% for the year but from mid-2021 it is down nearly 10%.
8% might seem like a stubbed toe, but these are _bonds_. You aren't suppose to lose anything. 8% inflation, 8% from bank failure and add-on the additional losses from non-bond related issues... S&P500 at 1% for the year but from mid-2021 it is down nearly 10%.