In difficult times, private crediting is heavily betting on consumer loans.
During an economic downturn, people's lending demand increases, and private credits such as BNPL provide investment opportunities for fund managers. However, the unfavorable economic situation also means that borrowers are more likely to fall into financial difficulties, thus increasing the risk of loan defaults.
US Bank Stocks Tumble; Weak Economic Data Sparks Recession Fears
Are Banks Sweeping Dud Property Loans Under the Rug? -- Heard on the Street -- WSJ
In July, there was a big reversal in the US stock market, with bank stocks rising by 10%, achieving the best monthly performance of the year.
After experiencing a year of industry uncertainty, US bank stock has skyrocketed recently.
Two officials of the Federal Reserve indicated that it is necessary to reform the discount window tool.
Boorman, a director of the Federal Reserve, and Logan, the president of the Dallas Federal Reserve, suggested that the Federal Reserve should assess to what extent its emergency lending tools can meet the liquidity needs of the banking system, implying the need to reform the discount window.
Mortgage Rates Fall to the Lowest Level in Four Months, While Refinances Jump 15%
