But although the collapse is concerning, Yellen emphasized that the American banking system is “safe and well-capitalized” and “resilient.”
Americans “can have confidence in the safety and soundness of our banking system,” Yellen said Sunday.
“We want to make sure that the troubles that exist at one bank don’t create contagion to others that are sound,” Yellen added.
The best outcome would be for the Federal Deposit Insurance Corp. to find a buyer for the bank, Sen. Mark Warner (D-Va.), said Sunday.
“I’ve been in conversations with the regulators, the administration, the [Federal Reserve], the best outcome will be, can we — can they find a buyer for this SVB bank today before the markets open in Asia later in the day?” Warner, a member of the Banking Committee said during an interview on ABC’s “This Week.”
House Speaker Kevin McCarthy also addressed the bank’s failure Sunday, saying the federal government was working to come up with a solution before the markets open in Asia Sunday evening.
“I have talked with the administration from [Fed Chair] Jay Powell and Janet Yellen. They do have the tools to handle the current situation. They do know the seriousness of this, and they are working to try to come forward with some announcement before the markets open, McCarthy told Fox News’ Maria Bartiromo during an interview on “Sunday Morning Futures.”
“I’m hopeful that something can be announced today.”
