• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 5 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 1 day How Far Have We Really Gotten With Alternative Energy
  • 9 days What fool thought this was a good idea...
  • 12 days Why does this keep coming up? (The Renewable Energy Land Rush Could Threaten Food Security)
  • 7 days A question...
  • 12 days They pay YOU to TAKE Natural Gas
  • 18 days The United States produced more crude oil than any nation, at any time.

Norway’s Oil Fund Held Over $260M In Failed SVB Banking Group

Norway’s oil fund held over $263 million in Signature Bank and SVB Financial Group, the owner of Silicon Valley Bank (SVB), which failed spectacularly over the weekend, sparking government intervention. 

MarketWatch reports that the Norwegian sovereign wealth fund (SWF) held around $263 million in SVB Financial Group and Signature Bank, based on last week’s valuations. 

"This is the biggest U.S. bank collapse since the financial crisis and we are closely monitoring the situation in the market," Norges Bank Investment Management (NBIM), which manages the SWF, said in an emailed statement to MarketWatch. 

Both Silicon Valley Bank (SVB) and Signature Bank have now been taken over by the federal authorities. 

SVB, the go-to lender for tech startups backed by venture capitalists, failed dramatically on Friday, with shares plunging 60% before the SEC halted trading. On Wednesday, the bank announced a massive capital raise, saying it would sell $2.25 billion in new shares to fix the balance sheet. That spooked investors, who feared the high share of uninsured deposits, creating a panic and a run on the bank. Shares tanked on Thursday, leading to an FDIC takeover on Friday. 

On Sunday, Washington launched emergency measures to avoid the contagion spreading into a wider financial crisis. The Biden administration pledged that banks will bear the losses, not taxpayers. 

The failure of these regional banks has sparked fears of a contagion spreading and leading to another financial crisis on the level of the Lehman Brothers collapse. Those fears have led to a drop in oil prices on Monday, and a battered Dow. 

Oil prices plunged as much as 5% before the opening bell on Monday, retracing somewhat by the early afternoon. As of 1:25 p.m. EST on Monday, both Brent and WTI were trading down 1.86%. 

ADVERTISEMENT

By Charles Kennedy for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment
  • George Doolittle on March 13 2023 said:
    Futures contracts are financial products requiring far more than just leverage although certainly there is that soooo..

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News