Justice Department, SEC probing collapse of Silicon Valley Bank

The Justice Department and the Securities and Exchange Commission have launched investigations into the collapse of Silicon Valley Bank. That's according to what two people familiar with the matter told The Associated Press. The people said the investigations - which are separate inquiries - are in the early stages and will also examine the actions of the bank's senior executives. The Justice Department's investigation involves federal prosecutors in California, along with prosecutors involved in fraud cases.

The people were not authorized to publicly discuss the specific details of the ongoing investigations and spoke to the AP on condition of anonymity.

- Associated Press

Bank fears spread to Europe, drag down shares of big lenders

GENEVA - Fears about the world banking system spread to Europe as shares in the globally connected Swiss bank Credit Suisse plunged.

The steep drop on Wednesday dragged down other major European lenders in the wake of bank failures in the United States. At one point, Credit Suisse shares lost more than a quarter of their value. The stock price hit a record low after the bank's biggest shareholder - the Saudi National Bank - told news outlets that it would not invest more money into the Swiss lender. Credit Suisse was beset by problems long before the U.S. banks collapsed.

- Associated Press

Is my money safe?

What you need to know about bank failures

NEW YORK - The recent failures of Silicon Valley Bank and Signature Bank, which catered mostly to the tech industry, may have you worried about your money. They were the second- and third-biggest bank failures in U.S. history. There's no need to worry if your money is in a bank insured by the Federal Deposit Insurance Corp. and you have less than $250,000 there. If the bank fails, you'll get your money back. If you have over $250,000 in one bank, that amount is considered uninsured and experts recommend that you move the remainder of your money to a different financial institution.

- Associated Press

First major United States railroad merger in two decades will go forward

The first major railroad merger in more than two decades, one that would link the United States, Canada and Mexico, is being approved by federal regulators. Canadian Pacific's $31 billion acquisition of Kansas City Southern will combine the two smallest of the nations seven major railroads after an arduous two-year review from the U.S. Surface Transportation Board, released Wednesday. The bar for railroad mergers in the U.S. was raised substantially at the start of the century after a couple problematic tie-ups that snarled rail traffic for weeks. Safety was also at the forefront after the fiery derailment in Ohio last month. Regulators say the new railroad has an excellent safety record.

- Associated Press

U.S. wholesale inflation fell last month due to lower food costs

WASHINGTON - Wholesale price increases in the United States slowed sharply last month as food costs declined, a sign that inflationary pressures may be easing. From January to February, the government's producer price index fell 0.1%, after a 0.3% rise from December to January, which was revised sharply lower. Compared with a year ago, wholesale prices rose 4.6%, a big drop from the 5.7% annual increase in January.

- Associated Press

Retail sales dip 0.4 percent in February after buying burst in January

NEW YORK - America's consumers trimmed their spending in February after a buying burst in January, underscoring the volatility of the economic environment. The government said Wednesday that retail sales slipped 0.4% after jumping a revised 3.2% in January, helped by an increase in auto sales. Retail sales were down in November and December, the critical holiday period. The February retail sales figure was dragged down by a 1.8% drop in auto sales as well as declines in restaurants and stores selling furniture and clothing.

Excluding autos, sales slipped 0.1% from January, according to the Commerce Department. But shoppers spent more online and at electronics stores, health and beauty stores and food retailers, according to the report.

- Associated Press