In light of the collapse of Silicon Valley Bank and Signature Bank over the weekend, BCA Research strategists Peter Berezin, Doug Peta, Ryan Swift, and Irene Tunkel discuss what these events mean for the banking system, the economy, and markets. In particular, they address the following questions:

• Are these isolated events, or is there significant read-across to other banks?
• How will this change Fed monetary policy?
• What are the implications for the stock market and government bond yields?
• Will there be other unforeseen consequences triggered by the sharp rise in interest rates over the past year?