a lot of people are frustrated and scared. it s scary for the world, i guess. i anticipate there will be a lot of moving money to the bigger banks. neil: unbelievable. believe it. fox on top of it. a banking mess in the making and still messy. three banks have technically collapsed this month. actually in just the past week. so far fears of a contagion are not taking held. here s what we know. customers are nervous, make that very nervous. officials aren t helping matters in when they say don t worry. we ve got this. do they? we ve got you covered with kelly o grady outside silicon valley bank branch where customers have been lining up. peter doocy in san diego where the president is trying to tamp fears down. peter, what are traders watching? none other than carl icahn on where this crisis could be heading. welcome. i m neil cavuto. so much happening today in real time fast time market conditions. let s go right now to kelly in los angeles with the very latest from the
responsible for that. i don t think they really answered that question except to say they re going to pass it on to other banks. we have to have some more information before we decide that is a good long-term deal. neil: i was looking at a lot of the medium-sized banks and those that through no fault of their own might just get caught up in this wave. i m mentioning charles schwab, key corps. some of the larger banks were taking it on the chin. is there a limit that we should assign to institutions that we rescue? right now wes have those institutions that are too big to fail so to speak. on those we made it clear in the past that we re going to step in on those. some of these medium size and smaller institutions that you wouldn t think have a significant impact but in this particular case since they have so many small businesses growing
ftx will be able to make payroll here in the tech community. i got a few texts of relief but not everybody is buying it. fox talked to one ceo that flew all the way from australia to make sure he got his money. we weren t sure what the situation would be like this morning. we wanted to make sure that we were able to get in the door early. most of the money in this bank is used to pay payroll. who will lose out? it s not the billionaires, it s people that have their salaries paid. that s why this bank exists. so the question is where do those people go. that s because close to 50% of u.s. venture capitol startups equates to svb. i poke to the founders of svb. they provided loans and services to the tech system that people couldn t get anywhere else. there s a lot of trepidation about which banks are credible. i spoke with a founder that was
the numbers tell you otherwise. meme could look at this and say gee, maybe we re going to something bad. i ll skip applying for that mortgage or reapplying for a cheaper home equity loan. i m nervous. we saw that in a lot of leisure stocks and all that were taken on the chin under the belief that maybe this gives consumers average americans pause. do you buy that? look, they re going to be anxious. they have every reason to be anxious. one of the things that are working for the housing market is even though we took a siesta last year, so as interest rates are going up, some around october, which is when they peaked, a little around 7%, there was a huge pause. a palpable pause in the housing market. so you saw people sitting on the sidelines, waiting for that opportunity. rates are going up. that has to mean that inventory will jump or prices will fall through the roof. come october, they were waiting. all of a sudden, the rates
saying maybe they put it on hold. we don t need more fire on the flame. i don t know what they re doing. it s hard to imagine what they re going to do. we still have a couple days left to let this story unfold to see how far in the nooks and crannies of banking system this story goes. i mean, we all saw that list of ten other companies like roku that had exposure to the svb bank. the story is still unfolding. it s me mature to say what the federal reserve will do. neil: what is weird about this, when you and i cover these disasters and usually some odd creature like a mortgage backed derivative. a lot of details that we don t know. but it goes down buying a lot of conservative investments like treasury notes and bonds but apparently at the wrong time.