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Why Risk Appetite Is Back | Alfonso Peccatiello, Michael Kantrowitz, Andy Constan & Jack Farley

Forward Guidance

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Bank Lending Is a Very Coincident Indicator

Bank lending is a very coincident, actually, belagging indicator. It's an extremely prociptical behavior by risk management and senior management when it comes to taking risks. The fact that the fed fons effective rate is now at 228 basis points instead of seven basis points, to me, like that affects the credit card industry in negligible fashion.

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