The headlines from the “financial” media were screaming loud and hot yesterday creating the type of panic and hyperbole unseen since the latter days of the 2008 disaster.
The Financial Times:
The Wall Street Journal:
And of course, The New York Times:
Why all of the hyperventilating?
Granted, it was the second largest bank failure in history, but did it really pose a systemic risk? I think we are about to find out as the media reaction has been over the top and FinTwit has also. I shall do some digging today and report back later, but there is something very wrong with this entire picture, and if the rumors of other banks having immediate problems are true also, perhaps this outpouring of yellow journalism may well be justified.