Federal Reserve: Equipment Supply Chain, Commercial Lending Mixed

Equipment supply chain disruptions have eased, but some regions still face the challenge of driving up costs as demand for commercial financing slows.

of federal reserve system Wednesday released its January issue. beige book, Based on data collected as of January 9th. The Beige Book reports on 12 districts categorized by city and represented by the Federal Reserve Bank.

Monthly reports are regional summaries of the challenges of the current economic climate.

Supply chain challenges are improving, but continued restrictions are driving up prices with mixed results across different sectors.

The Richmond Fed, which serves much of Maryland, Virginia, North Carolina, South Carolina, West Virginia, and the District of Columbia, said new tractors and trailers had been stranded for about six months, driving prices up. I reported.

Alaska, Arizona, California, Hawaii, Idaho, Nevada, Oregon, Utah, Washington, American Samoa, Guam, and the Northern Mariana Islands.

The New York Fed area covers New York. Fairfield County, Connecticut. his 12 counties in northern New Jersey; Puerto Rico; and the U.S. Virgin Islands, although optimism was mixed, businesses indicated supply disruptions had eased.

“Looking ahead, manufacturers don’t expect much improvement, but shipping, warehouses and wholesalers are more optimistic,” according to the Beige Book.

Overall, 39 states and Washington DC recorded varying degrees of supply chain disruption.

Demand for commercial loans slows

On the other hand, borrowing costs are rising due to rising interest rates degree of interest It limits the demand for commercial lending.

Commercial lending fell in areas served by the Cleveland, Dallas and Richmond Feds, covering 11 states together. In contrast, the Kansas City Fed, Philadelphia Fed, and St. Louis Fed, which together cover 17 states, saw an increase in commercial loan volumes.

Despite high interest rates, the St. Louis Fed area has low delinquency rates, indicating healthy credit quality.

Editor’s Note: This article first appeared at Equipment Finance Connect, Royal Media’s new event focused on promoting best practices in the equipment finance industry and uncovering opportunities for value creation in the enterprise. rice field.visit https://equipmentfinanceconnect.com/

https://ift.tt/moqa9wc Federal Reserve: Equipment Supply Chain, Commercial Lending Mixed

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