Deals
Wells Fargo Breaks From the Herd on Loans, Saying It’s Time to Be Prudent
- Firm says discipline on risk, not Fed cap, curtailed lending
- Rivals JPMorgan and Citigroup both expanded lending in quarter
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With interest rates rising and borrowers keeping up on payments, bank shareholders want to see which lenders are taking advantage. One big firm is hanging back.
Wells Fargo & Co., under the thumb of a regulatory asset cap, rattled investors Friday by posting the only decline in loans as the top U.S. banks began reporting quarterly results. While JPMorgan Chase & Co. and Citigroup Inc. found areas to expand, Wells Fargo cut both consumer and commercial lending. It also had the smallest jump in interest income.