Will US commercial real estate cause the next banking crisis

Will US commercial real estate cause the next banking crisis
US small- and mid-sized banks are vital to credit formation as they collectively represent 80 percent of commercial real estate lending With fears of contagion following the failure of Silicon Valley Bank and others in the US and the Credit Suisse saga in Europe have ebbed over the last week, there remains an area of concern in the world’s largest economy that could cause the next banking crisis there. Depositors are said to be shifting their monies from smaller US lenders to larger ones as well as to money market funds, crimping the capability of such banks to lend more.…

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