For a Change, Some Good Economic News
Wells Fargo announced today it expects to turn a $3 billion profit for the first quarter of this year, some surprisingly good news from the troubled banking
Jul 31, 202083.9K Shares1.2M Views
Wells Fargo announced today it expects to turn a $3 billion profit for the first quarter of this year, some surprisingly good news from the troubled banking sector, CNNMoney reports.
Those results exceed expectations from analysts, and they sparked a stock market rally early today.
From CNNMoney:
“„Wells Fargo attributed the latest results to strong performance in its traditional banking and mortgage businesses.
“„“Our business momentum is strong, and we expect our operating margins to remain at the top of our peer group,” Wells Fargo CEO John Stumpf said in a statement.
“„The company also said its recent purchase of Wachovia was exceeding expectations. Wells Fargo announced it planned to acquire Wachovia, which was on the verge of collapse during the height of the credit crisis, last October.
“„Wells Fargo said that since its deal for Wachovia closed earlier this year, customers that had been concerned about Wachovia’s health have been returning. That helped to drive loan and deposit growth.
It’s too early to conclude happy days are here again. Maybe this is just the result of a refinancing frenzy that will eventually slow down. But whatever the reason for the upturn, and regardless of its staying power, simply having a bank predicting a profit constitutes news these days.
Rhyley Carney
Reviewer
Latest Articles
Popular Articles