02/09/2024 | Press release | Distributed by Public on 02/09/2024 13:38
Helping lenders serve homebuyers and homeowners with affordable mortgages
Financing for quality, affordable rental housing in every market, every day
Reducing risk and enhancing housing finance liquidity
The rebound in the ISM services index in January is consistent with other data, particularly strong consumption growth at the end of 2023, suggesting Q1 2024 growth will be above our previously forecasted expectations. Still, we continue to expect deceleration in 2024. This quarter's SLOOS was more subdued following last spring's acute banking stress, but lending standards to businesses have continued to tighten on net, supporting our forecast for ongoing sluggish business investment. This week's consumer credit data showed minimal growth in credit balances after a sharp rise in November, possibly in part due to ongoing changes in seasonal spending patterns affecting the seasonal adjustments. Over the quarter, growth in revolving credit balances slowed somewhat compared to Q3, consistent with the modest slowing in consumption growth in the Q4 2023 GDP report.
Economic and Strategic Research Group
February 9, 2024
Opinions, analyses, estimates, forecasts, and other views of Fannie Mae's Economic and Strategic Research (ESR) Group included in these materials should not be construed as indicating Fannie Mae's business prospects or expected results, are based on a number of assumptions, and are subject to change without notice. How this information affects Fannie Mae will depend on many factors. Although the ESR group bases its opinions, analyses, estimates, forecasts, and other views on information it considers reliable, it does not guarantee that the information provided in these materials is accurate, current, or suitable for any particular purpose. Changes in the assumptions or the information underlying these views could produce materially different results. The analyses, opinions, estimates, forecasts, and other views published by the ESR group represent the views of that group as of the date indicated and do not necessarily represent the views of Fannie Mae or its management.