As the second quarter concludes, we can reflect on an eventful first half of 2023 marked by a banking crisis, a resurgence in meme stock activity and persistent interest rate hikes to battle global inflation.

Standards and accuracy are important factors in any data offering, but especially when using this data to measure performance and understand revenue relative to peers.

Equities market performance has been something of a pleasant surprise in the first half of 2023. In the U.S. market, the S&P 500 closed out the 2nd quarter roughly 16% higher than its mark from the start of the year.

In his June 21, 2023, testimony before congress, Federal Reserve Chair Jerome Powell referred to the central bank’s view of bank-run mechanics as “outdated.” His comments, which sought to address the events leading up to Silicon Valley Bank’s collapse, allude to the fact that today, the genesis of financial panic is more likely to come from message boards than board rooms.

Discover stock utilization & other key securities lending metrics with DataLend’s comprehensive guide, revealing market trends in securities finance & cash markets.

Kickstarting in mid-March 2023, NGT, EquiLend’s renowned trading platform, launched an exciting new workflow for clients – Competitive Bid. In an effort to drive greater automation in the specials market, Competitive Bid allows both Lenders and Borrowers to indicate hard-to-borrow flags when they initiate trades.

In a volatile macroeconomic environment, the fixed income market continued its robust securities lending performance in Q1 2023, generating $666 million in revenue, up 25% YoY. The period continued to be characterized by rising interest rates and inflation, forcing fixed income yields up and presenting an opportunity for directional trading.

The Data and Analytics division of EquiLend has observed many revenue-impacting corporate events in recent years; Naspers in 2021 and 3M last year, to name a few.

The collapse of Silicon Valley Bank sent shockwaves throughout both the U.S. and global financial sector. While the 2023 banking crisis will likely not be a watershed of the same magnitude as the collapses of 2008, it was a true test of the system and unsurprisingly had a significant impact on the securities lending market.