WFC - Aggressive Banks Face 2 Challenges: Credit Normalization And Sliding American Ethos
- Barron's lead story April 9: "Retail Crime is Hurting Companies and Making Inflation Worse. What Investors Should Know."
- I see a disturbing risk emerging in the U.S.: A decline in the "American Ethos" of honesty and personal accountability.
- Well-intentioned Public Policies have reduced punishment for retail crime, postponed student loan repayment indefinitely, put evictions on hold, and transferred money to U.S. households and businesses at unprecedented levels.
- Bank credit numbers looked fabulous in 2021 thanks largely to Federal government stimulus and Fed intervention. Both are gone in 2022.
- Aggressive lenders have been riding high, but today face short-term pressure associated with credit quality normalization and long-term pressures associated with sliding American Ethos.
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Aggressive Banks Face 2 Challenges: Credit Normalization And Sliding American Ethos