Insights from Former FDIC Chair on Regional and Global Banking Systems

Former FDIC chief Sheila Bair warns that the focus on regional banks as the only source of worry for potential fallout from the Federal Reserve's rapid pace of interest-rate hikes in the past year is "counter productive". She argues that all banks, regardless of size, need to be mindful of interest-rate risk and how it is being managed. The recent collapse of Silicon Valley Bank and Signature Bank highlights the risk confronting all banks. Bair has been calling for a pause on Fed rate hikes since December, warning that a financial crisis could have catastrophic consequences.