REUTERS: Bank of America Corp lowered its annual net interest income guidance on Wednesday to reflect a weakened interest rate environment as the second-largest U.S. lender reported higher-than expected earnings fueled by strong consumer trends.
Chief Financial Officer Paul Donofrio said on a call with reporters the sequential decline was due to lower long-term interest rates. But warning signs also emerged with JPMorgan, Citigroup and Well Fargo reporting a dip in margins, stoking fears that interest rate cuts could further pressure profit by narrowing the spread between what banks charge on loans and pay on deposits.
Total loans in its consumer banking unit rose 6per cent, while deposits were up 3per cent, pushing income from the business up 13per cent to US$3.3 billion.
Loans Loans Latest News, Loans Loans Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: ChannelNewsAsia - 🏆 6. / 66 Read more »