Updated: Oct 29, 2022
October 26, 2022 | Premium Service | As earnings season grinds on, readers of The Institutional Risk Analyst are coming to appreciate just how contorted are Q3 2022 earnings results vs last year. As we told Liz Claman on Fox Business last week, you can just throw the past two years of financial data into the trash from an analytical perspective.
We note in our last comment (“AOCI: The Winter of Quantitative Easing”), that the stress visible in banks and nonbanks is rising. This is due to the huge price volatility injected into markets by the reversal of the Fed’s pro-inflation policies. More, the price risk in committed but undrawn lines from banks is another area that may soon color a number of credit profiles.