Moody's downgrades US banking: ‘rapidly deteriorating operating environment’
SVB and Signature bank suffered from a liquidity crisis rather than a solvency crisis. The fed has often stepped in to provide liquidity in such situations but instead here shut them down. This could be a trend to shut down smaller regional banks to force consolidation to larger banks. This is helped by these downgrades and other pundits triggering further liquidity crises. The big question is why this is happening and what is their outcome desired. Could it be paving the way for CBDC?