US BANKING SHARES REBOUND AFTER SVB COLLAPSE

Shares in US banks have recovered some of the steep losses they have seen since the collapse of Silicon Valley Bank (SVB).

US stock markets opened higher on Tuesday, and some of the US regional banks saw big gains.

Regulators in the UK, the US and Asia have acted quickly to try to contain any fallout from SVB’s demise.

The Bank of Japan moved to keep financial markets stable after its leading stock index fell 2.1%.

Investors have been worried that other banks may be exposed to similar problems.

Until last week’s shock collapse, SVB was a relatively little-known bank – it was the 16th largest in the US.

However, a decision to invest in assets such as government bonds when interest rates were at record lows left SVB exposed to huge losses when central banks started raising rates.

There is concern that other banks could be caught out in the same way