With the failures of Silicon Valley Bank, Signature Bank, and First Republic Bank; the wipeout of $17 billion in Credit Suisse additional tier 1 bonds; and the liability-driven investing crisis in the UK—all within the first half of 2023—U.S. Treasury officials and banking regulators have assured Americans that the financial system remains sound. But one seasoned investor who predicted the 2007-2008 credit and financial crisis believes that more instability is ahead.

"Other things will break, and who knows what they will be," Jeremy Grantham, the co-founder and chief investment strategist at asset management firm GMO, told CNN in April 2023.  "We're by no means finished with the stress to the financial system."

Other market observers are starting to pinpoint financial risk to certain market sectors. In mid-May, Moody's Analytics reported the first quarterly drop in commercial real estate prices in more than a decade.