{"id":18821,"date":"2023-03-17T00:23:08","date_gmt":"2023-03-17T00:23:08","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/european-commissioner-says-impact-of-svb-collapse-limited-as-credit-suisse-drags-down-banking-stocks-finance-bitcoin-news\/"},"modified":"2023-03-17T00:23:08","modified_gmt":"2023-03-17T00:23:08","slug":"european-commissioner-says-impact-of-svb-collapse-limited-as-credit-suisse-drags-down-banking-stocks-finance-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/european-commissioner-says-impact-of-svb-collapse-limited-as-credit-suisse-drags-down-banking-stocks-finance-bitcoin-news\/","title":{"rendered":"European Commissioner Says Impact of SVB Collapse ‘Limited’ as Credit Suisse Drags Down Banking Stocks \u2013 Finance Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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Silicon Valley Bank\u2019s (SVB) collapse has had a \u201climited impact\u201d on the European Union but authorities must still \u201cstay alert\u201d to events as they unfold, European Commissioner Mairead McGuinness has said. Despite McGuinness\u2019 reassuring remarks, stocks of Europe\u2019s largest banks still plunged by as much as 10% on March 15.<\/strong><\/p>\n

Silicon Valley Bank\u2019s \u2018Limited\u2019 EU Impact<\/h2>\n

According to the European Commissioner for financial services, Mairead McGuinness, the collapse of the U.S. bank Silicon Valley Bank has so far had limited impact on the European Union (EU). However, in her March 15 remarks before the EU parliament, McGuinness said<\/a> the region\u2019s authorities should \u201cstay alert\u201d to the unfolding events in the international markets.<\/p>\n

McGuinness also revealed that the European Commission (EC) is currently monitoring the banking situation in the United States and that it hopes to learn important lessons.<\/p>\n

\u201cThe direct impact on the European Union seems to be limited but we should reflect on whether there are lessons to be learned for the European Union\u2019s banking sector,\u201d the commissioner told the EU parliament.<\/p>\n

Credit Suisse Drags Down European Banking Stocks<\/h2>\n

Prior to McGuinness\u2019 remarks on the impact of SVB\u2019s collapse on the EU, an unnamed spokesperson for the European Commission was quoted in a Reuters report<\/a> stating the bank had an insignificant presence in the region, hence the limited impact. While the commission expects the EU to emerge from the latest U.S. banking system crisis largely unscathed, McGuinness however warned that rising inflation still remains a key threat.<\/p>\n

\"Eurpoean<\/p>\n

However, despite McGuinness\u2019 reassuring remarks, stocks of Europe\u2019s largest banks still plunged by as much as 10% on the same day. The stocks were dragged down by Credit Suisse, Switzerland\u2019s second-largest bank, whose shares hit an all-time low after the group\u2019s main shareholder, the Saudi National Bank, said it could no longer bail out the beleaguered entity.<\/p>\n

According to a report<\/a>, the Saudi National Bank\u2019s decision was made after a PwC audit revealed \u201cmaterial weaknesses\u201d in Credit Suisse<\/a>\u2019s internal controls. As of writing, Credit Suisse shares have seen marked recovery on Thursday, after news of assistance from the Swiss National Bank.<\/p>\n

What are your thoughts on this story? Let us know what you think in the comments section below. <\/strong><\/em><\/p>\n

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\nTerence Zimwara <\/h6>\n

\nTerence Zimwara is a Zimbabwe award-winning journalist, author and writer. He has written extensively about the economic troubles of some African countries as well as how digital currencies can provide Africans with an escape route.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

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Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com<\/a> does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<\/div>\n

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