Over 280 U.S. banks risk needing capital due to CRE and interest rate losses.

This looming capital need suggests a potential liquidity crunch on the horizon, exacerbated by stress indicators such as a high Fed funds rate and a sharp decline in private credit fundraising, reflecting levels not seen since 2020.

BANKING CRISIS 3.0🚨

Chart depicts double top for a reason.

Stressed banks
"More than 280 U.S. banks with nearly $900 billion total assets are at risk of needing capital because of high levels of commercial real estate and losses tied to interest rates." https://t.co/QgJfY2eRva pic.twitter.com/Mp4ZuVuild

— The Great Martis (@great_martis) May 31, 2024

"Stress signs are already visible as the high fed funds rate saw private credit fundraising scraping the lowest level in any quarter since 2020."@johnauthers pic.twitter.com/BJGjr1AX2P

— Daily Chartbook (@dailychartbook) May 31, 2024