From Friday, the US banks will present their figures for the second quarter.
(Photo: AP)
Denver Things have gone quiet again for American banks after the industry was startled by the turbulence at several regional banks in May. But the current calm could be deceptive. When the US institutes present their results for the second quarter from Friday, investors will see a mixed picture. The reason: There are a number of problems that are troubling Wall Street banks.
Experts estimate that the six largest banks alone – JP Morgan Chase, Bank of America, Citigroup, Wells Fargo, Goldman Sachs and Morgan Stanley – will have to write down around five billion dollars. According to analyst estimates by the Bloomberg news service, the six houses would probably have to set aside a further 7.6 billion dollars for increasing risk provisions.
The abrupt turnaround in interest rates and its consequences are having a greater impact on the major banks in the USA than before. But where exactly are the difficulties?
Read on now
Get access to this and every other article in the
Web and in our app free of charge for 4 weeks.
Further
Read on now
Get access to this and every other article in the
web and in our app.
Further