US Credit Conditions to Weaken to Post-Pandemic Low, Banks Say
- Bank economists see tighter credit for businesses, consumers
- Survey was taken after recent banking stress, trade group says
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US credit conditions for consumers and businesses are expected to deteriorate in the next six months to their worst level since the pandemic, according to a survey of chief economists at 15 of the nation’s biggest banks.
The American Bankers Association said on Thursday that its credit conditions index fell to 5.8 in the second quarter from 12.5 in the first quarter. A reading below 50 in the gauge – which is derived from answers to the survey — indicates that the economists forecast weaker credit conditions in the coming six months.