On March 17th, Industrial Securities Futures released a research report saying that the bankruptcy of Silicon Valley Bank in the United States last week opened the curtain of this wave of European and American bank risk events.
European and American stock markets continued to fall, panic surged, and prices of safe-haven products such as precious metals soared.
Compared with the risk events that have occurred, the market is more worried about the hidden risk points. Affected by the continuous interest rate hikes in Europe and the United States, the inversion of long-term and short-term asset returns may further exacerbate the risk release of weak links in the European and American financial industries.
Because the domestic monetary policy and interest rate structure are different from those in Europe and the United States, and compared with the excessive use of innovative tools in the financial industry in Europe and the United States, my country’s financial market pays more attention to financial risk prevention and prudent application of financial tools.
Therefore, the risk of European and American banks is transmitted more from the emotional side to the domestic stock market, and is unlikely to change the fundamentals of the domestic financial industry.