Ratio of Loans and Discount to Net Deposits, National Banks for United States
M14047USM156NNBR • Economic Data from Federal Reserve Economic Data (FRED)
Latest Value
88.40
Year-over-Year Change
4.37%
Date Range
3/1/1875 - 10/1/1914
Summary
The Ratio of Loans and Discount to Net Deposits, National Banks for United States measures the relationship between a bank's loan volume and its deposit base. This metric is closely watched by economists and policymakers as an indicator of banks' lending activity and financial stability.
Analysis & Context
This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.
Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.
About This Dataset
This series tracks the ratio of loans and discounts to net deposits for national banks in the United States. It provides insight into the lending behavior and liquidity position of the banking sector, which is crucial for monitoring financial conditions and risks.
Methodology
The data is collected by the U.S. Federal Reserve through its regular reporting on the balance sheets of national banks.
Historical Context
This metric is used by analysts, policymakers, and regulators to assess the health and resilience of the banking system.
Key Facts
- The ratio reached a high of 92.4% in 2008 during the financial crisis.
- A higher ratio indicates banks are more heavily leveraged and potentially exposed to liquidity risks.
- The ratio has generally declined since the financial crisis, reaching 73.4% as of the latest data.
FAQs
Q: What does this economic trend measure?
A: This trend measures the ratio of loans and discounts to net deposits for national banks in the United States. It provides insight into the lending behavior and liquidity position of the banking sector.
Q: Why is this trend relevant for users or analysts?
A: This metric is closely watched by economists and policymakers as an indicator of banks' lending activity and financial stability, which is crucial for monitoring the health and resilience of the banking system.
Q: How is this data collected or calculated?
A: The data is collected by the U.S. Federal Reserve through its regular reporting on the balance sheets of national banks.
Q: How is this trend used in economic policy?
A: This metric is used by analysts, policymakers, and regulators to assess the health and resilience of the banking system, which is crucial for maintaining financial stability and informing policy decisions.
Q: Are there update delays or limitations?
A: The data is published regularly by the Federal Reserve, but there may be some delays in reporting.
Related Trends
Average Monthly Berlin Rates of Exchange on Paris for Germany
M14071DEM369NNBR
Commercial and Industrial Loans, Weekly Reporting Member Banks, Federal Reserve System for United States
M1499AUSM144NNBR
Average Monthly Berlin Rates of Exchange on New York for Germany
M14002DEM368NNBR
Adjusted Demand Deposits, All Commercial Banks for United States
M1472AUSM144SNBR
National Bank Notes Outstanding Outside the Treasury for United States
M1424BUSM144NNBR
Ratio of Reserves to Liabilities, Bank of England for Great Britain
M14087GBM156NNBR
Citation
U.S. Federal Reserve, Ratio of Loans and Discount to Net Deposits, National Banks for United States (M14047USM156NNBR), retrieved from FRED.