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Silicon Valley Bank – What Happened? Why? When? How?

2 points·by Tan_MSJ·3 years ago·0 comments

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Tan_MSJ
·3 years ago·discuss
Why would they? their long term treasury bills are yielding almost 0% interest rate and current rate is closer to 6%. Ergo, no one is going to buy an out of the money long term asset at par when current yield is significantly higher. No sane rational person would do that.