The banking crisis is having a slow-burn impact on the economy
Publishing timestamp: 2023-04-25 15:10:11
Summary
The recent banking crisis in the US is expected to have a slow bleed effect on the economy rather than a major broadside impact. While larger banks like JPMorgan Chase and Bank of America have sustained less of a hit, smaller banks like First Republic are struggling to survive. The impact of the crisis on the economy will depend on consumers, who account for more than two-thirds of all US economic activity. While the first-quarter economic growth is expected to be positive, it is not expected to last due to Federal Reserve interest rate hikes and constraints on small-bank lending. However, most economists expect any recession to be shallow and short-lived.
Sentiment: MIXED
Keywords: bank of america corp, economy, spdr s&p bank etf, breaking news, business news, jpmorgan chase & co, first republic bank, breaking news: economy,
Source: https://www.cnbc.com/2023/04/25/the-banking-crisis-is-having-a-slow-burn-impact-on-the-economy.html