Now, just when it is needed, this borrowing is coming back: Fast-rising card borrowing is helping offset the challenges brought by higher interest rates, such as rising deposit costs and losses on bank bond portfolios. The bank raised its full-year guidance for core net interest income to $87 billion from $81 billion in its first-quarter report, of which $3 billion is from the First Republic deal. For its part, Wells Fargo decrease; red down pointing triangle also raised its guidance for full-year net interest income growth to 14% in 2023, from a prior estimate of 10% growth. Wall Street trading, deal making and corporate activity remained challenged as executives and investors grappled with uncertainty about the economy and the direction of interest rates. Citigroup decrease; red down pointing triangle reported a 15% year-over-year rise in card revenues, but revenue and net income at the global bank fell overall.

Source: Wall Street Journal July 15, 2023 11:42 UTC