South Florida economy seems firm in face of inflation, bank headwinds. Will it last?
March 30, 2023
Joe Luzinski, Senior Managing Director of DSI was recently quoted in an article from the South Florida SunSentinel titled: South Florida economy seems firm in face of inflation, bank headwinds. Will it last? By David Lyons
Mr. Luzinski characterized the banking problems as a “sector crisis” driven by the technology industry, “not a systematic banking crisis.”
“I don’t think any of our local banks have a lot of exposure in that [technology] space,” he said, although Silicon Valley Bank did open a branch on Miami’s Brickell Avenue in 2021.
“I think the regulators and the government were probably wise to realize that if they didn’t backstop the deposits, it could have created a literal firestorm among the big businesses that are not startups,” Luzinski said. “The good news is the government probably made a good choice to step up and cover that. The bad news is, I’m not sure where the bottom is at the moment.”