Investing
Banks Used to Provide Relief From Inflation. Now They Profit Big
- Gap between deposit interest and inflation is widest in years
- Even as bank lending earns more, pressure to pay savers is low
Shoppers eat at a food court in a mall in Paramus, New Jersey, US.
Photographer: Gabby Jones/BloombergThis article is for subscribers only.
The last time inflation burned hot, consumers could put money in the bank and watch it grow like the prices on store shelves, easing much of the pain.
Not this time -- and that’s stoking profits for US lenders.