Fed in talks to create a fund to backstop deposits if more banks fail - report

<p>The FDIC and Federal Reserve is mulling a fund that would allow regulators to backstop more deposits at banks that run into trouble, <a href="https://ift.tt/LzhPpAw" target="_blank" rel="nofollow">according to a Bloomberg report</a>.</p><p>The report says regulators discussed what would be a new special vehicle in conversations with bank executives, citing people familiar.</p><p>" The hope is that setting up such a vehicle would reassure depositors and help contain any panic, said the people.," according to the report.</p><p>This sounds like an interesting option because it lets Silicon Valley Bank go while trying to step the contagion, though the details here are far from certain.</p> This article was written by Adam Button at www.forexlive.com.

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