Insurance assurance...

[Michael Grove]

Officials at the U.S. Treasury Department are reportedly studying ways to guarantee all bank deposits if tremors in the banking system spiral into a full-blown financial crisis. Authorities don't yet see full FDIC coverage as necessary, but they are exploring a legal framework using emergency powers that wouldn't require passage through a deeply divided Congress. The fear is that if another regional lender fails, there will be a run on deposits at smaller banks, knocking the industry over and sending billions of dollars to their bigger competitors.

All of which follows on from The Swiss Central Bank who later stepped in to offer Credit Suisse a £44.5bn lifeline and the shares rallied, recovering some of their losses yesterday. But Rosen Law Firm, a class action lawsuit specialist, has lodged a complaint in a court in Camden, New Jersey which claims the bank made “materially false and misleading statements” in its 2021 annual report.