The Fed Meeting and the Debt Limit

The market didn't see a significant price response following some evidence of tightening credit conditions in Wednesday's beige book. The Fed's senior loan officer survey isn't released until after the May FOMC meeting. We won't have a good sense for the degree to which tighter lending standards impact the real economy until we're well beyond the point in which the transition commenced. That implies that it won't be until perhaps the third quarter before we have more concrete evidence for what the regional banking crisis did to the US economy.