The views of respondents representing small- and medium-sized community banks diverged on a number of key issues in this quarter's Bank Executive Business Outlook Survey.
On the question of whether the spike in housing prices this year poses a serious risk to the U.S. economy, half of executives at banks with assets of $1 billion or less answered in the affirmative compared to 38% of those at banks with assets of $1 billion to $10 billion.
Overall, 71% of all respondents noted improved economic conditions from Q1 2021. However, the percentage of respondents that expected overall economic conditions to improve in the 12 months ahead declined five points to 52%.