These are still early days for evaluating the risk outlook linked to the banking turmoil triggered earlier this month by the collapse of Silicon Valley Bank (SVB), but there are nascent signs that the worst has passed. Reverberations for the economy remain a threat, but for the moment the odds of contagion risk that spreads across the financial system seem to be receding. Blowback for the economy in the months ahead is less clear, but the immediate goal is avoiding a spike in financial-system risk writ large and on that front there’s a case for cautious optimism.
Daily Archives: March 22, 2023
Macro Briefing: 22 March 2023
* China’s Xi tells Putin he wants to ‘strengthen coordination’ with Russia
* Federal Reserve faces tough choice on today’s decision on interest rates
* Fed will come under intense scrutiny in Congress over SVB failure
* UK inflation posts unexpected increase in February
* Bank crisis is expected to pinch commercial real estate lending
* Bank turmoil takes a bite out of oil prices
* Gold pulls back after briefly trading above $2000 an ounce
* US home prices fall vs. year-ago level–first decline in 11 years
* US existing home sales rebound sharply in February:
