NEW YORK (AP) — Putting ourselves aside. The current battle with the White Housethe situation on Wall Street is good.
Three of the biggest banks these days – Bank of America, Citigroup and Wells Fargo – reported their results on Wednesday. Although each bank conducts different types of banking operations, the theme is the same. That means profits are up, trading is healthy and consumers are doing well.
“While risks persist, we remain bullish about the U.S. economy in 2026,” Bank of America CEO and Chairman Brian Moynihan said in a statement.
Moynihan added that businesses and consumers are “showing resilience.” Citigroup Chief Financial Officer Mark Mason used the same words to describe the situation for consumers and businesses.
“The U.S. economy is doing well. There are downside risks, particularly geopolitical risks. But when you step back and look at the big picture, our economy is managing uncertainty and risk in a resilient way,” Mason told reporters Wednesday.
Until last weekend, big banks had an ally in the White House in President Donald Trump. playing cards Signed the “One Big Beautiful Bill” into law An even larger tax cut was promoted in July. The Trump administration’s banking regulators are also pushing for deregulatory policies that are embraced by both banks and large corporations. Last year, many companies embraced dealmaking, resulting in steady growth in investment banking revenues and fees for large banks.
However, banks and President Trump are currently at odds. President Trump said Friday he wanted to set a cap. credit card interest rate 10% and has supported the Justice Department investigation. Jerome Powellbankers see the Federal Reserve chairman as a threat to the independence of the nation’s central bank. President Trump also appears to have no intention of slowing down his attacks, doubling down on his comments to reporters on Tuesday night.
For these big banks, many of which have large and profitable credit card businesses, they argue that interest rate caps on credit cards simply aren’t possible.
“Affordability is a huge issue and we look forward to working with the government on how to address this,” said Mr Mason. “But interest rates are not something we can and will not support. They will limit credit to those who need them most and have a serious impact on our economy.”
Bank executives told reporters they didn’t see much evidence of the incident. “K-shaped” economywhere the rich get even richer and the bottom half doesn’t fare much better. Even further away, Consumers continue to spend Other indicators of consumer financial health, such as delinquencies and charge-offs, have also remained stable.
Bank of America’s profit was $7.6 billion, or 98 cents per share, up from $6.8 billion, or 83 cents per share, in the year-ago period. The bank’s revenue was $28.4 billion.
Wells Fargo had revenue of $21.3 billion and profit of $5.36 billion, or $1.62 per share, compared with profit of $5.08 billion, or $1.43 per share, in the same period last year.
Bank of America reported a 6% increase in credit and debit card spending and a manageable increase in credit card balances of $103 billion, up 3% from a year ago. Personal deposits also increased to $945.4 billion.
Wells Fargo’s credit metrics told a similar story. The bank saw growth in consumer loans and an increase in credit card usage, but delinquencies and charge-offs remained relatively stable.
