Profits slid at Wall Street's biggest banks in the third quarter as they braced for a weaker economy while investment banking was hit hard, but investors saw a silver lining with some banks beating estimates.
"Most of these banks are making more spread income now than ever because of the change in interest rates," said Chris Marinac, Director of Research at Janney Montgomery Scott. "And this was the first quarter where you had the full effect of the Fed, because the Fed increased a little bit in May.
Corporations' interest in mergers, acquisitions and initial public offerings dried up, particularly hitting banks strong in investment banking. Global M&Ain the third quarter with volumes in the United States plummeting nearly 63% as the rising cost of debt forced companies to postpone big buyouts. “Against the backdrop of economic headwinds, the solid earnings reports from this morning will quickly pass into the rearview mirror," said Peter Torrente, KPMG US National Sector Leader for Banking and Capital Markets. "Worries of inflation, which shows little sign of slowing down, are casting a long shadow on future outlook."
Indonesia Berita Terbaru, Indonesia Berita utama
Similar News:Anda juga dapat membaca berita serupa dengan ini yang kami kumpulkan dari sumber berita lain.
U.S. stocks open higher as investors digest retail sales data, Wall Street earningsU.S. stocks opened higher Friday, as investors weighed data from the U.S. Census Bureau showing retail sales were flat last month as well as third-quarter...
Baca lebih lajut »
Netflix’s Ad-Tier Reveal: Wall Street Bullish On Details So FarFirst reviews of Netflix’s plans for its upcoming advertising tier are in, and several Wall Street analysts are bullish on what those details will mean for the streaming giant’s subscriber and financial outlook
Baca lebih lajut »
Netflix Stock Wobbles As Wall Street Debates Streaming Giant’s Embrace Of AdvertisingNetflix stock dipped 1% to close the week at $230 a share as debate continued on Wall Street about the financial impact of the company’s embrace of advertising. Basic with Ads, the new subscr…
Baca lebih lajut »
Here are Friday's biggest analyst calls: Micron, Tesla, Apple, Sunrun, Netflix, Delta, Amazon & moreAnalyst call of the day for CNBCPro subscribers: UBS reiterates Netflix as neutral and says it’s cautiously optimistic on the company's opportunity with its ad-supported tier. Subscribe to see the analyst calls of the day curated by CNBC Pro.
Baca lebih lajut »