While banks continue to tighten lending standards fewer banks are doing so that from the peak.
Most are remaining unchanged, and almost no easing.
While some are seeing this as positive, it just means banks remain very tight compared to the loose standards we saw before. But at least they are stable for now.
Demand for loans is also slowly improving from the lows. Probably as yields decline from the highs.
Banks, on balance, reported expecting lending standards to remain basically unchanged for C&I and RRE loans, but to tighten further for CRE, credit card, and auto loans. In addition, banks reported expecting loan demand to strengthen across all loan categories, and loan quality to deteriorate across most loan types.