Europe Stocks Plunge as Silicon Valley Collapse Sparks Tensions

European stocks fell in trading on Monday as investors and market participants focused on the consequences of the SVB banking crisis and its danger to the banking sector.

And by 11:50 Moscow time, the British FTSE 100 index fell by 1.50% to 7631.51 points.

The German DAX index fell 1.88% to 15,138 points, while the French CAC index fell 1.79% to 7,091 points.

Experts said: “Tensions in the markets are spreading despite the measures taken by the US authorities to calm the markets and ensure the stability of the banking sector in the US.”

In turn, analyst Alexander Nazarov pointed out that other banks were also in the danger zone, and in a post on his channel on the Telegram social communication application, he said: “Lists of banks have appeared on the Internet that may face the same problems with SVB. The panic is growing.”

On March 10, the State of California closed Silicon Valley Bank, the largest bankruptcy in the US since the financial crisis of 2008, and the bankruptcy is due to an increase in the interest rate on the US Federal Reserve.

In light of this, the US authorities intervened in the crisis and decided from March 13 to allow access to their savings to all Silicon Valley depositors.

Source: RT