U.S. Capital Markets Glide Path to Clearer Skies

All banks are on a mission to shore up their balance sheets

$100 $120 $140 $160 $180

$120

• The Bank Term Funding Program (BTFP) acted as

a backstop for banks facing these unique

$100

liquidity challenges, and it shored up confidence so that deposit outflow didn’t continue in a more systemic way. situation from becoming a full-blown larger “run on banks.” • Apart from monitoring bank liquidity, it’s important not to get too hung up on the SVB bank event…as the big picture conditions are what really matter for CRE. • The BTFP kept the

$80

$60

$0 $20 $40 $60 $80

$40

$20

$0

1/4/23

2/1/23

2/8/23

3/1/23

3/8/23

4/5/23

5/3/23

6/7/23

1/11/23

1/18/23

1/25/23

2/15/23

2/22/23

3/15/23

3/22/23

3/29/23

4/12/23

4/19/23

4/26/23

5/10/23

5/17/23

5/24/23

5/31/23

6/14/23

Primary Credit (Billions, LHS)

BTFP (Billions, RHS)

23

Source: Federal Reserve