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MNI: Banks Tighten Credit, See Loan Demand Drop - Fed Survey

(MNI) WASHINGTON

Credit conditions for U.S. business and households continued tightening on the margin from post-SVB levels in the second quarter of the year, according to a Federal Reserve survey of bank loan officers.

The Fed's quarterly Senior Loan Officer Opinion Survey, or SLOOS, showed around half of banks tightened terms of credit for a key category of business loans for medium and large businesses. The other half kept terms basically unchanged. No survey respondents saw easing conditions.

Regarding banks’ outlook for the second half of 2023, banks reported expecting to further tighten standards on all loan categories.

MNI Washington Bureau | +1 202-371-2121 | evan.ryser@marketnews.com
MNI Washington Bureau | +1 202-371-2121 | evan.ryser@marketnews.com

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