Index of Banking Activity rises on hiring, improved consumer lending

January 8, 2013

Business activity in the banking sector expanded marginally in November, a sixth consecutive month of improved momentum, according to industry executives surveyed for American Banker’s latest Index of Banking Activity.

The IBA’s November overall reading of 55.8 compared to 55.7 in October. The IBA is a product of American Banker’s regular surveys of bank executives and is published in partnership with VantageScore Solutions. The November index was based on 253 responses.

Hiring accelerated. The reading for staffing reached 52.1 in November, posting the highest tally for last year and rising from 46.6 in October. In contrast, optimism for business conditions cooled down, coming in a 53.9 reading from 57.8 a month earlier. Lawmakers reached a compromise in early January to stave off the fiscal cliff, so it will be interesting to see how that influences the next set of monthly data.

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