- Global banking system experiences cracks under historic interest rate increases.
- Silicon Valley Bank collapse sparks wider panic, Credit Suisse offered safety line.
- US bond market volatility rises to highest level since 2008 financial crisis.
- Central bankers face tough decisions as they balance inflation-fighting with financial stability.
- Efforts to stave off contagion through deposit insurance and liquidity lines bring some calm, but create moral hazard.
A week of banking turmoil
Markets are buckling under high rates, complicating the response to inflation
The editorial board
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