BNKZ - Beige Book sees lending starting to revive as credit remains solid

Photo by Kerkez/iStock via Getty Images Digging through the Fed's Beige Book, the U.S. economy expanded "moderately" and "somewhat" faster in the early April to late May vs. the prior six-week period. And part of that growth came from lending volumes starting to increase for both household and business loans. That may signal a turnaround, since many banks were experiencing a decline in lending during Q1 as deposits increased. However, increased competition among financial institutions may lead to deteriorating loan quality, as cited in the entry from the San Francisco Fed. Commercial real estate lending ticked up in a couple of regions, such as Dallas and Philadelphia. Here are some of the highlights from the Fed's district banks: The New York Fed noted "moderate" improvement in business activity as loan demand increased primarily from the commercial sector. Overall credit standards were unchanged, except on residential mortgages where banks tightened lending

For further details see:

Beige Book sees lending starting to revive as credit remains solid