Regional banks are being disproportionately impacted by the deterioration in the CRE market and are increasing their credit loss provisions for these loans. Market downturns are being felt mostly through office loans and multifamily commercial...
Read MoreThe Financial Stability Board (FSB) is warning that an increase in shadow banking, or the movement of financial activity outside of the regulated banking system, is making economies more sensitive to financial crises. The FSB...
Read MoreAmerican borrowers continue to grapple with rising prices and higher borrowing costs across all types of consumer debt. More Americans are carrying credit card balances month-to-month, with minimum payments rising with interest rates. Credit card...
Read MoreDifferences in the performance of CRE loans are leaving the largest banks (those with more than $100 billion in assets) more exposed to distress in the sector than smaller institutions. According to data from S&P,...
Read MoreAccording to VantageScore data, 1.35% of credit card balances were 30 days delinquent in April, marking improvement in the sector. Banks’ credit card charge-offs stood at 4.4% at the end of Q1 2024. Subprime borrowers...
Read MoreThe Bureau of Labor Statistics’ Consumer Price Index for May was unchanged from April but remains 3.3% higher than a year ago. Notably, the index for shelter rose 0.4% in May, the fourth consecutive monthly increase (up...
Read MoreAccording to the Bureau of Economic Analysis, U.S. GDP growth for Q1 2024 was revised down from 1.6% to 1.3%. The change was driven by a revision to consumer spending growth (from 2.5% to 2.0%). This...
Read MoreThe percentage of overall outstanding balances of consumer debt that was 30- 59 days past due– encompassing auto, credit card, mortgage, and personal loans – fell to 0.86% in April, from 1.04% in February. This...
Read MoreU.S. household debt continues to rise, according to the Federal Reserve Bank of New York’s Quarterly Report on Household Debt and Credit for Q1 2024. Household debt balances grew by $184 billion from the previous quarter, with...
Read MoreThe Bureau of Labor Statistics’ Consumer Price Index found that prices rose slightly in April, up 3.4% YoY, and 0.3% from March 2024. Core inflation rose at its slowest pace since 2021. With inflation showing signs of...
Read MoreAccording to the New York Times, credit bureaus are urging Buy Now, Pay Later (BNPL) lenders to report these loans to the bureaus to help borrowers create a credit history. However, some lenders have been...
Read MoreThe Wall Street Journal reports that private equity and asset management firms continue to grow and now rival the largest banks. These firms are expanding their services, targeting not only institutional clients, but expanding to...
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