The Case of SVB and Credit Suisse

$($PART A$)$ Explain how the collapse of SVB in March $2023$ was related to interest rate changes.

$($PART B$)$ Assming that the average duration of its assets is six years, while the average duration of its liabilities is two years, calculate the change in net worth of Credit Suisse if the interest rates increase by $3\%.$

$($PART C$)$ Draw a supply and demand graph for the bonds market. Show on the graph how the financial crisis may have impacted the bonds market for financial institutions. Label clearly the horizonal and vertical axis.