US Mulls More Support for Banks

You know maybe too late for credit Suisse and maybe too late for first Republic there stocks down what a total of 90% now But what are the possible options are there that are viable can actually say for first Republic now? Well indeed Kathleen it's very much still a moving target and that there is a sense that The authorities are kind of a kind of flipping Back and forth with a few different options that they have on the table here One of those options of course is to change or certainly expand the emergency lending facilities that are available to To the bank that will allow them to kind of get the liquidity in the areas that they need It is a fluid moving target. So you know details are subject to change But as you said the stock is down 90% But one of the points we were making in our reporting for this story is that Maybe some of the deposit withdrawals has started to kind of ease somewhat and that is giving regulators a little bit of hope that You know that they're not dealing with it as as fragile a situation as they were You know a week or two ago. So is the chance of a bank runs? Stabilizing somewhat is that kind of coming back a bit that might help regulators firm up their decision if indeed that's happening And of course going back to SVB could be fun to get some news I know there were some bids that went in before the Friday deadline potentially we could know something by the end of the weekend Well, it does feel like from hour to hour. We're kind of looking for incremental news here Heidi But I think it's pretty clear that the authorities do want to get something done Sunday night or certainly very early Monday morning and The FDIC of course has been in control of this bank now for the best part of two weeks They've been working with a number of different parties to try and get a resolution But they do want to kind of they do want that resolution really as soon as possible It doesn't really help them to kind of keep this on their balance sheet for any longer and does at this point look like Valley National and for citizens are the kind of the front runners But you probably need to keep your eye on the tape now in the next few hours late into Sunday evening in the US to see Whether we get another development on this.

Adam Haigh, Banking, First Republic Bank/CA, Haidi Stroud-Watts, Kathleen Hays, U.S., U.S. Government, company news, fiscal support, support