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Banking confidence shaken after series of failures | Learn English expression 'herd mentality'

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The Liquidity Crisis of Silicon Valley Bank

The banks that failed in March 2023 had liquidity crises. Instead of making loans, Silicon Valley Bank took their deposits and bought a lot of long-term U.S. Treasury bonds. If you have to sell a bond before it matures, you won't get all your money back. In the second half of the lesson, we'll talk about the English expression, herd mentality.

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