Could emerging cracks in the labor market influence future Fed rate hikes? Why a softening labor market could be a positive for CRE Which types of companies are shrinking their recruiting efforts?

Banking shock prompts Fed to take a more measured approach. At its March 22 meeting, the Federal Open Market Committee raised the federal funds rate for the ninth time in 12 months. The 25-basis-point hike matches the margin from February and lifts the lending rate’s lower bound to 4.75 percent. The FOMC cited still-too-high inflation and a persistently tight labor market as reasons for necessitating the increase, which is nevertheless below what was anticipated by… Read More

Job growth continues at generally swift pace. Employers added a net 311,000 personnel to payrolls in February, down from January’s robust 504,000-position gain, but still above the long-term monthly average. Hiring was likely aided by an expansion to the labor pool last month, leading to a 10-basis-point uptick in the unemployment rate to 3.6 percent. Despite this slight increase to unemployment and a slowdown in job growth, the labor market is still showing…

How much CRE debt will come due in 2023? Could CRE defaults spark a wave of bank failures? How much of the total CRE debt do regional and small banks really hold?

How Federal Reserve policy shift could revive investment activity Could interest rate clarity help close the buyer/seller expectation gap? How investors can capitalize on the new interest rate outlook

Consumers place an emphasis on necessities. Total retail sales dropped 0.4 percent in February. However, store-based spending — which excludes purchases made online and at restaurants and bars — reached a record mark. This contrast indicates consumers may be prioritizing the purchase of necessities when visiting brick-and-mortar retailers, a dynamic that has positive implications for…

Bank Closures Could Sway Federal Reserve Decision, Fast Government Response Alleviates Contagion Concerns The collapse of Silicon Valley Bank and Signature Bank sent shock waves through capital markets, but agencies have been quick to counter it from spreading. Expectations for a smaller interest rate hike at the upcoming FOMC meeting has meanwhile been a byproduct of the recent events. The Fed will likely tread more cautiously despite persistent inflation and resilient employment. Key Features: Timeline… Read More

Does the banking sector face heightened risk of contagion and additional closures? Interest rate whiplash – how bank failures radically changed the debt capital outlook Could bank closures actually bring more stability to the lending climate?

Prominent tech and venture capital bank closes. Silicon Valley Bank (SVB), the country’s 16th-largest bank, was seized by California state regulators on Friday, March 10 and placed into FDIC receivership in the largest banking collapse since 2008. Recent troubles in the technology and cryptocurrency sectors, of which SVB was a prominent financier, led to major deposit outflows at the bank, forcing the institution to sell bond holdings before their maturity to procure cash to cover these… Read More

The forces slowing household formation and apartment demand What the trends mean for the retail and industrial sectors How investors can capitalize on the emerging trends