The failure of Silicon Valley Bank and Signature Bank this past weekend sparked concerns over banking stress contagion. The jury is still out on whether it’s a few bad apples or the whole cart but taking no risks, governments were quick to emerge with monetary disinfectant on Monday. An article in the FT summed up the probable outcomes of the bank failure and its subsequent policymaker remedies. 1 Here’s what they might lead to and what it might mean for gold. The SVB episode is likely to increase funding costs for banks, especially smaller regional banks. It highlighted the issue of Held-to-Maturity2 assets and in ... (full story)