Senior Loan Officer Survey (SLOOS)
Track bank lending standards from the Fed's Senior Loan Officer Survey. Tightening credit means less lending and slower economic growth.
Current Value
Trigger Level: Net tightening >20% = credit crunch
Historical Trend
AI Analysis
Today's SLOOS Lending Standards value is 8.1%, remaining unchanged over the past three weeks, indicating a flat trend with no recent tightening or loosening in lending conditions. This consistent level suggests a stable credit environment, but the modest net tightening of 8.1% indicates caution among lenders, which could signal a potential risk for future credit availability. Given that the current value is below the critical threshold of 20% for a credit crunch, recession risk remains low at this time; however, the persistent tightening could foreshadow future constraints on credit that may impact economic growth if the trend continues.
What is the SLOOS Lending?
The Senior Loan Officer Opinion Survey (SLOOS) is a quarterly Fed survey of up to 80 large banks tracking changes in lending standards and loan demand for business and consumer loans.
Why It Matters for Recession Risk
When banks tighten lending standards, credit becomes harder to obtain — slowing business investment and consumer spending. Net tightening above 20% has historically been associated with recessions or near-recession conditions.
Historical Context
Lending standards tightened dramatically before both the 2001 and 2008 recessions. Current standards remain on the tighter end of the range observed since 2005, reflecting ongoing bank caution.
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