Wall Street steadies ahead of big week for banks and inflation
Markets held steady as investors awaited key reports on inflation and labor. The S&P 500 rose slightly to 4138.12 while the Dow dipped to 33618.69 and the Nasdaq climbed to 12256.92. PacWest rose after a dividend cut, with Western Alliance up slightly as banks seek to reassure deposits and avoid lending pullbacks amid persistent rate pressure and recession worries.
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Banks tighten lending standards amid bank failures
A Federal Reserve senior loan officers survey shows banks raising lending standards for business and consumer loans after three large bank failures, with about 46 percent tightening commercial loans and many planning further restraint this year. Analysts warn tighter credit could slow growth and raise recession risk in the latter 2024 period.
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Michael Pearce
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Biden plans new rules on airline cancellations and delays
President Biden will push regulations requiring airlines to compensate travelers for meals and hotels when delays or cancellations are within the airline’s control and to offer full refunds in such cases. The rules would mirror EU protections, targeting disruptions from mechanical issues or crew shortages as Transportation Department officials prepare a fast track process. The proposal arrives ahead of peak summer travel, with DOT assessing timelines while highlighting that current policies vary by carrier.
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