BANK BONANZA
10/15/2025 |
25Q3 bank earnings were a stunning $50 billion, up 20% Y-o-Y! All divisions did well, including wealth management, lending, trading and M&A/investment banking, suggesting a healthy economy. But not so fast. The drivers were big firm borrowing for M&A, and affluent households borrowing against booming equity values. Middle-class deposits grew, but Main Street borrowing and household credit card growth were minimal. The wealthiest households and biggest firms are driving results.