“So with all that said, we would expect deposit probably run off maybe about 10% over the course of this year.”

In context

“st income and some of the changes that you’re referencing. So I guess to start, can you help us understand your point about historical reference of deposits versus QT or rates environment. We saw the positives come down this quarter. Can you tell us what you’re expecting to see out of the balance sheet going forward? Emily Portney: Sure. So when it comes to deposits and runoff, what I’d first say is that we’re just using the forward curve. So assume that it’s just as baked into the forward curve, Fed funds is about 2.5% by the end of the year. Also, we’re just assuming that betas largely retraced what we’ve seen in the last cycle. It means that we will get to the end state faster, but they’re going to largely retrace it’s correlated to rates and largely are chased what we’ve already seen. So with all that said, we would expect deposit probably run off maybe about 10% over the course of this year. And that’s from where we are in the average of the first quarter. We’ve already seen them come down a bit from the fourth quarter. And just as a reminder, our deposit base is largely institutional NIBs. Part of the growth you’ve seen has been in NIBs and so we expect that to kind of normalize to over time. And the other thing I would mention is that as we see deposit runoff, we also could see a migration to money market funds. And if that does indeed happen, then obviously, that could be a nice tailwind for us as well. Ken Usdin: Okay, got it. And then in terms of the shortening up of the duration, can you tell us how I don’t know if you can size the magnitude of how much that might have changed your current views of full year NII up 13% versus what it might have been otherwise? And how y”