Oct 14, 2021 - Economy
Banks see borrowing return
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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.
- Comparatively, it fell for Wells Fargo and Citigroup.
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.
