Fears of a potential banking crisis are on the rise as interest rates stay elevated.
Interest rates are now at their highest levels since 2001 as the Fed keeps an eye on inflation.
Markets have already seen 1 regional bank fail this year, according to FDIC data.
According to Moody's Analytics chief economist Mark Zandi, the longer interest rates stay high, the more the Fed risks damaging the economy.
"That's the kind of thing I'm worried about in the context of persistently high interest rates."
Persons:
—, Mark Zandi, That's, Barry Sternlicht, Sternlicht, Daniel Pinto
Organizations:
Fed, Service, Analytics, Yahoo Finance, Bank, Regulators, First Bank, Fulton Bank, Stanhope Capital, Bloomberg
Locations:
Philadelphia, America