Oct 14, 2021 - Economy & Business

Banks see borrowing return

Data: FactSet; Chart: Axios Visuals
Data: FactSet; Chart: Axios Visuals

Lending profits helped boost Bank of America's and Morgan Stanley’s third quarter. 

  • Net interest income jumped 10% and 52%, respectively, over last year, the companies reported this morning. 

Where else they were strong: Investment banking fees rose 65% at Bank of America.

  • For Morgan Stanley, fees reached a new quarterly record.
  • Citigroup’s fees more than tripled from last year. 

By the numbers: Profits jumped 59% at Wells Fargo, 58% at Bank of America, 48% at Citigroup and 36% at Morgan Stanley. 

  • JPMorgan, which reported on Wednesday, reported a 24% increase in profit.
  • Still to come: Goldman Sachs tomorrow.

What to watch: Consumer and business spending are pacing above pre-pandemic levels, signaling a greater appetite for debt, which is good for all of the banks.

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