Steve Sosnick and I discuss the FDIC insurance threshold of $250,000 per account, which is meant to protect individuals but may not be enough for businesses with more funds. We question where the money to bailout the Silicon Valley Bank depositors will come from and what the ramifications may be in terms of insurance premiums on banks. In the short term, raising the insurance limit may stem runs on banks, but it also makes people wary of investing in stocks and bonds because those investors may not have the same protections as depositors.
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