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☆ A Left-Right Alliance Puts Iowa’s CO2 Pipelines on the Presidential Agenda
▼ + stars: | 2023-07-30 | by ( Jonathan Weisman | More About Jonathan Weisman | ) www.nytimes.com time to read: +1 min

The $4.5 billion Summit, $3 billion Navigator and $630 million Wolf Carbon pipelines may not be front and center next month at the first Republican presidential debate. They probably won’t be featured in super PAC advertising or mentioned during Fox News appearances. The Summit, Navigator and Wolf pipelines, fueled by federal tax credits embraced by both parties, would draw carbon dioxide from the factories that turn Iowa corn into ethanol. They would snake through 3,300 miles of farmland in Iowa and other Midwestern states, then pump the planet-warming gas into the bedrock beneath Illinois and North Dakota. And they are pitched as a climate protection measure, though some experts and environmentalists say it is only a partial solution at best.

Persons: —, Donald J, Trump, Mr, “, that’s, ” Organizations: Fox News, Republican Locations: Iowa, Illinois, North Dakota

☆ GOP candidate Will Hurd slams Ron DeSantis' defense of Florida’s slavery curriculum
▼ + stars: | 2023-07-30 | by ( Summer Concepcion | ) www.cnbc.com time to read: +3 min

Ron DeSantis for defending Florida's new public school standards that teach that some Black people benefited from slavery because it taught them useful skills. "But this is one more part of a fact pattern of Ron DeSantis being mean and hateful." A few of DeSantis' Republican opponents, including Sen. Tim Scott of South Carolina and former New Jersey Gov. Doug Burgum, another 2024 GOP contender, told NBC News "it's an absurd idea" to think that slavery benefited Black people. Asked about the incident on Sunday, Hurd said: "I knew there were going to be people that didn't like it."

Persons: Will Hurd, Sergio FLORES, SERGIO FLORES, Ron DeSantis, Hurd, DeSantis, Kamala Harris, Sen, Tim Scott of, Chris Christie, Doug Burgum, Donald Trump, — Organizations: US, Republican Party of, Iowa, AFP, Getty Images, Former Texas Rep, Republican, Sunday, Gov, NBC, Press, Florida State Board, New, New Jersey Gov, Republicans, North Dakota Gov, Black Republicans, GOP, Senate Locations: Des Moines , Iowa, AFP, Florida, Tim Scott of South Carolina, New Jersey, Texas, Iowa, United States

☆ Former GOP congressman Will Hurd gets booed off stage for saying Trump 'is running to stay out of prison'
▼ + stars: | 2023-07-29 | by ( Brent D. Griffiths | ) www.businessinsider.com time to read: +3 min

Former congressman Will Hurd was effectively booed off stage for criticizing Trump. The crowd made clear their displeasure with Hurd's claim that Trump 'is running to stay out of prison." "Donald Trump is not running for president to represent people that voted for him in 2016 and 2020," Hurd said. "Donald Trump is running to stay out of prison." Hurd is not expected to qualify for the first Republican presidential primary debate next month, which requires candidates to meet polling and donation thresholds.

Persons: Will Hurd, Trump, Hurd, Hurd's, Donald Trump's, Iowa Republican Party's, Donald Trump, Amanda Rooker KCCI, Brianne Pfannenstiel, X, Jack Smith's, Mike Pence, Pence, Francis Suarez Organizations: Iowa Republicans, Service, Republican Party, Iowa Republican, Republican, Des Moines Register's, Twitter, House, Iowa, Miami Locations: Wall, Silicon, Iowa, Des, Texas, Trump

☆ Trump shows in Iowa he still rules the GOP – despite his deepening criminal peril
▼ + stars: | 2023-07-29 | by ( Stephen Collinson | ) edition.cnn.com time to read: +11 min

“As it stands right now, you will be voting in Iowa, while multiple criminal cases are pending against former President Trump,” Hutchinson said. Donald Trump is not running for president to represent the people that voted for him in 2016 and 2020,” Hurd said to loud boos. “Donald Trump is running to stay out of prison,” he said as jeers started to crescendo. But if Trump is to be stopped, there is no sign so far that it will happen in Iowa. Unlike some of the other GOP candidates, Trump is not using the dinner to also hold multiple Iowa campaign stops.

Persons: Donald Trump, didn’t, quagmire, Trump, Dunn, ” Trump, Jack Smith, Biden, ”, –, Ron DeSantis, ” DeSantis, Mike Pence, White, ” Pence, I’m, Asa Hutchinson, ” Hutchinson, Will Hurd, “ Donald Trump, ” Hurd, jeers, Joe Biden, it’s, Sen, Barack Obama, Jackson, Scott Olson, DeSantis, South Carolina Sen, Tim Scott, Hawkeye, there’s, Donald J, “ I’m, ” Scott, “, Chris Christie Organizations: CNN, Republican, Brooks, Capitol, GOP, Florida Gov, ABC News, White House, Fox News, Trump . Former Arkansas Gov, Former Texas Rep, CIA, Trump, Democratic, Jefferson, White, Hawkeye State, Iowa, Getty, North, Fox, South, Democrats, New, New Jersey Gov Locations: Iowa, America, Florida, Manhattan, Iowa –, Mar, Erie , Pennsylvania, Des Moines, Hawkeye, North America, South Carolina, “ Hello Iowa, New Jersey, New Hampshire

☆ Bank failure: Kansas Heartland Tri-State Bank closed by FDIC
▼ + stars: | 2023-07-28 | by ( Ramishah Maruf | ) edition.cnn.com time to read: +1 min

New York CNN —Heartland Tri-State Bank of Elkhart, Kansas, failed on Friday, with the Federal Deposit Insurance Corporation taking control. The FDIC agreed to assume all the deposits of Heartland Tri-State Bank to protect customers, entering a purchase and assumption agreement with Dream First Bank of Syracuse, Kansas. That means the four branches of Heartland Tri-State Bank will reopen as branches of Dream First Bank on Monday. Heartland Tri-State Bank is the first bank to fall since First Republic, the nation’s second-largest bank failure ever, in early May. Heartland Tri-State Bank had approximately $139 million in total assets and $130 million in total deposits, the FDIC said.

Organizations: New, New York CNN, Heartland Tri, State Bank of, Federal Deposit Insurance Corporation, State Bank, Dream, Bank of, Silicon Valley Bank, Signature Bank, FDIC, Dream First Bank . Heartland Tri, Bank Locations: New York, State Bank of Elkhart , Kansas, Heartland, Bank of Syracuse , Kansas, Republic, Silicon

☆ This regional bank could soon become a 'massive market share taker,' JPMorgan says
▼ + stars: | 2023-07-28 | by ( Hakyung Kim | ) www.cnbc.com time to read: +2 min

There's a "new energy" now at New York Community Bank , JPMorgan says. New York Community Bank has undergone a significant transformation over the past year. After its merger with midwestern-based Flagstar Bank, NYCB acquired certain assets and liabilities of Signature Bank. It also absorbed teams from the former First Republic Bank, making it a home to 127 private banking teams in more than 10 cities combined. With regional banking stocks still "out of favor," investors can currently buy NYCB shares at an 11% discount to its peers in terms of tangible book value, he added.

Persons: NYCB, Tom Cangemi, Steven Alexopoulos, Alexopoulos, — CNBC's Michael Bloom Organizations: New York Community Bank, JPMorgan, Flagstar Bank, Signature Bank, First Republic Bank, York Community, First Republic

☆ 'Shark Tank' investor Kevin O'Leary warns of more regional bank failures as the Fed presses ahead with interest-rate increases
▼ + stars: | 2023-07-28 | by ( Zahra Tayeb | ) www.businessinsider.com time to read: +2 min

"Shark Tank" investor Kevin O'Leary has warned of more regional bank failures as the Fed keeps raising interest rates. "You keep squeezing the toothpaste tube, you keep rolling it up, you keep raising rates, and you know things are going to break," he said. The Fed announced a quarter-point rate rise on Wednesday in a bid to cool inflation down to 2%. The collapses of Silicon Valley Bank, Signature Bank, and First Republic, have shown the damage higher interest rates have done to smaller US lenders. "We've started to see the cracks, the Titanic has not [sunk]," O'Leary said of the bank collapses.

Persons: Kevin O'Leary, Jerome Powell, We've, " O'Leary Organizations: Fed, Service, Federal Reserve, CNBC, Valley Bank, Signature Bank, First Locations: Wall, Silicon, First Republic, United States

☆ How you could be impacted by higher bank capital requirements
▼ + stars: | 2023-07-27 | by ( Elisabeth Buchwald | ) edition.cnn.com time to read: +5 min

Their risk-level assessments have been the basis for informing how much capital they need to hold on top of baseline requirements. Silicon Valley Bank accumulated a lot of paper losses, or unrealized losses, from holding bonds while the Fed hiked interest rates. But it did not need to hold capital to protect depositors from those losses. Some also expressed concerns that banks would pass on their higher capital costs to consumers in the form of higher fees to maintain their profit levels. However, UBS, Citizens Bank and Capital One will have to hold more capital.

Persons: wouldn’t, ”, Banks, aren’t, Steven Kelly, won’t, SVB, Jonathan McKernan, Michelle Bowman, Kelly, ” Kelly, JPMorgan Chase, Morgan Stanley Organizations: New, New York CNN, Federal Reserve, Federal Deposit Insurance Corporation, Huntington Bank, Silicon Valley Bank, Signature Bank, Valley Bank, FDIC, ”, Manufacturers, JPMorgan, JPMorgan Chase, Bank of America, UBS, Citizens Bank, Capital, Nasdaq Locations: New York, Basel, Banc, California, Silicon

☆ Banc of California and PacWest Bancorp will merge into a new bank holding $36 billion in assets
▼ + stars: | 2023-07-26 | by ( Huileng Tan | ) www.businessinsider.com time to read: +3 min

Banc of California and PacWest Bancorp shares surged after announcing an all-stock merger. The new bank will have $36 billion in assets and $30.5 billion in total deposits. Banc of California shares jumped 8.4% to $15.85 apiece in after-hours trade, extending gains from an 11% rise on Tuesday. The all-stock deal will result in a new bank with $36 billion in combined assets, Banc of California and PacWest announced on Tuesday. It will have $25.3 billion in total loans and $30.5 billion in total deposits.

Persons: PacWest, Jared Wolff, Warburg Pincus, Wolff, We've, Timothy Coffey, Janney Montgomery Scott Organizations: PacWest Bancorp, Morning, Warburg, Centerbridge, Reuters, Silicon Valley Bank, Signature Bank, JPMorgan, First Republic Bank, First Citizens Bank, New York Community Bancorp Locations: California, Banc, Silicon, Signature Bank , New York

☆ How Regional Banks Got Healthy Again
▼ + stars: | 2023-07-26 | by ( Emily Flitter | More About Emily Flitter | ) www.nytimes.com time to read: +1 min

After depositor runs led to the collapse of Silicon Valley Bank and Signature Bank this spring, investors and onlookers wondered how similarly sized institutions would fare. Would they have to merge with bigger banks? Then, when a third lender, First Republic Bank, flirted with destruction for weeks before being bought by JPMorgan Chase in May, it was hard to see how depositors would ever feel comfortable trusting midsize banks again. Quarterly earnings reports released this month detailing midsize banks’ performance from April through June have shown that their balance sheets look healthier than they did last quarter, with higher-quality loans and more money set aside to cover surprise losses. The KBW Nasdaq Regional Banking Index, a proxy for the industry, is rebounding after plunging 35 percent during the crisis.

Persons: depositor Organizations: Silicon Valley Bank, Signature Bank, First Republic Bank, JPMorgan Chase, Nasdaq, Banking Locations: Silicon

☆ Iowa’s Governor Will Interview G.O.P. Field, Minus One: Trump
▼ + stars: | 2023-07-25 | by ( Nicholas Nehamas | More About Nicholas Nehamas | ) www.nytimes.com time to read: +1 min

Ms. Reynold’s office on Tuesday released a list of participants for the interview series that did not include Mr. Trump. The former president, who has expressed his anger at Ms. Reynolds for not endorsing him, declined an invitation to participate. Ron DeSantis of Florida, Mr. Trump’s chief rival. Mr. Trump appears intent on prolonging his public feud with the popular Ms. Reynolds, which has angered and puzzled conservatives in the state. One Republican state senator even flipped his endorsement from Mr. Trump to Mr. DeSantis after the spat.

Persons: Kim Reynolds, Donald J, Trump, Reynolds, Trump’s, Ron DeSantis, DeSantis Organizations: Gov, Republican, Iowa State Fair Locations: Iowa, Florida

The first Republican presidential primary debate is slated for Aug. 23 in Milwaukee. Twelve candidates have entered the race to date, but some are unlikely to make the stage for the first debate. To participate, candidates must meet a mix of fundraising and polling criteria set by the Republican National Committee. They must also pledge to support the party’s eventual nominee.

Organizations: Republican, Republican National Committee Locations: Milwaukee

☆ On the Road With Will Hurd, the Bipartisan Candidate in Search of a Base
▼ + stars: | 2023-07-24 | by ( Jazmine Ulloa | More About Jazmine Ulloa | ) www.nytimes.com time to read: +1 min

At a pit stop outside Manchester, Mr. Hurd said he had no issue with championing another Republican. But he said he would not support Mr. Trump. “I’m not going to lie to get a microphone,” Mr. Hurd said, digging into a Philly cheesesteak and salty fries. Back on the road, Mr. Hurd did not downplay the challenges. Proving that group of people indeed exists as a coherent base of support will be the ultimate test of his candidacy.

Persons: Hurd, Trump, “ I’m, Mr, — Organizations: Republican National, Philly, Republicans, Republican Party Locations: Manchester

☆ Regional bank yields have fallen but plenty are still paying more than 4%
▼ + stars: | 2023-07-21 | by ( Scott Schnipper | ) www.cnbc.com time to read: +3 min

Western Alliance Bancorporation of Phoenix left its dividend unchanged at 36 cents a share in May and yields 3%. As of Friday, the bank's common stock still yields 7.1%, albeit down from 8.5% as recently as May. Comerica Bank in Dallas pays a dividend equivalent to a 5.5% yield, down from 7.9% in May. The banks' yields have fallen as the stocks have recovered some of their losses from earlier in the year. To judge the safety of bank dividends, take a look at their dividend payout ratios , which measure the percentage of earnings paid out in dividends.

Persons: Janney Montgomery Scott, Janney, Daniel Cardenas, — CNBC's Michael Bloom Organizations: PacWest Bancorp, Western Alliance, Truist Financial Corp, Rhode, Financial, Valley Bank, First Republic Bank, Comerica Bank, Heritage Commerce, Northrim BanCorp, Financial of, National Bancorp of Locations: Phoenix, Charlotte , North Carolina, Cleveland, Dallas, 2H23, Los Angeles, San Jose , California, Alaska, Financial of Ohio, National Bancorp of New Jersey

☆ JPMorgan sees 'material upside' for this once-troubled regional bank
▼ + stars: | 2023-07-20 | by ( Jesse Pound | In Jesse-Pound | ) www.cnbc.com time to read: +2 min

Western Alliance has put the spring's regional banking crisis in the rearview mirror and will be able to sustain its recent rally, according to JPMorgan. Shares of the bank rose more than 7% on Wednesday after the report was released. WAL 5D mountain Shares of Western Alliance rose sharply on Wednesday. But even with that rally, the stock is still down about 37% from where it ended February, before the regional banking crisis. The firm's new price target represents upside of nearly 30% from where Western Alliance's shares closed on Wednesday.

Persons: Steven Alexopoulos, Alexopoulos, FactSet's, — CNBC's Michael Bloom Organizations: Western Alliance, JPMorgan, Western Locations: Republic

☆ US consumer watchdog warns no more 'rubber stamp' for bank mergers
▼ + stars: | 2023-07-20 | by ( Douglas Gillison | ) www.reuters.com time to read: +3 min

Bank executives, meanwhile, complain that regulators' foot-dragging and uncertainty caused by looming regulatory reforms have depressed merger activity among healthy banks to historic lows. That drew the ire of Democratic Senator Elizabeth Warren, who helped create the CFPB and backed Chopra for the director role. Chopra called in May for the FDIC to adopt changes to bank merger guidelines. He declined to discuss possible changes but said the approval process was already evolving, citing a review of bank merger guidelines undertaken in 2022. Reporting by Douglas Gillison; Editing by Michelle Price and Jamie FreedOur Standards: The Thomson Reuters Trust Principles.

Persons: Rohit Chopra, Banks, Chopra, Janet Yellen, Michael Hsu, JPMorgan Chase, Elizabeth Warren, Douglas Gillison, Michelle Price, Jamie Freed Organizations: Consumer Financial Protection Bureau, Reuters, Federal Deposit Insurance Corporation, Bank, JPMorgan, Democratic Party, First, FDIC, Bank of America, Thomson Locations: First Republic, Wells Fargo

☆ Unnamed GOP advisor dismissed surging Vivek Ramaswamy as noisy 'fajitas that go by you at the restaurant'
▼ + stars: | 2023-07-20 | by ( Brent D. Griffiths | ) www.businessinsider.com time to read: +2 min

An unnamed advisor to a GOP presidential hopeful was snark about Vivek Ramaswamy's rise. The advisor told Semafor that Ramaswamy is like noisy "fajitas that go by you at the restaurant." An advisor to an unknown GOP hopeful is so annoyed by conservative entrepreneur Vivek Ramaswamy that they compared the surging foe to noisy "fajitas." "Vivek is like the fajitas that go by you at the restaurant," one advisor on a rival campaign told Semafor. Besides being wrong about head-turning fajitas, the snark underlines how Ramaswamy's rise is starting to grate on some of his fellow primary foes.

Persons: Vivek Ramaswamy's, Semafor, Ramaswamy, Vivek Ramaswamy, Vivek, Nikki Haley, Sen, Tim Scott, Chris Christie, Donald Trump Organizations: Service, Republican, New, New Jersey Gov, reining, Trump Locations: Wall, Silicon, New Jersey, Milwaukee, China

☆ Flagstar Bank hires six First Republic teams to expand private banking
▼ + stars: | 2023-07-20 | by ( ) www.reuters.com time to read: +1 min

July 20 (Reuters) - Flagstar Bank, a subsidiary of New York Community Bancorp (NYCB.N), said on Thursday it has hired six private client banking teams from the now-defunct First Republic Bank. Three of the teams are based on the West Coast and three teams are based in New York City, the bank said in a statement. Flagstar Bank also bought deposits and loans of New York-based Signature Bank from U.S. regulators after Signature was closed in March. The recruitment from First Republic is the second major hire of its private bankers by a regional bank after it was seized by regulators and bought by JPMorgan (JPM.N) in May. Citizens Financial Group (CFG.N) recently added 50 new senior private bankers and another 100 support staff in Boston, Florida, New York and San Francisco, mostly from First Republic.

Persons: Banks, Morgan Stanley, Manya Saini, Saeed Azhar, David Holmes Organizations: Flagstar Bank, New York Community Bancorp, Republic Bank, West Coast, Bank, Signature, JPMorgan, Citizens Financial, First, Wall, Bank of America, Thomson Locations: West, New York City, New York, U.S, Republic, Boston , Florida , New York, San Francisco, First Republic, Bengaluru

☆ Post-it maker 3M is in danger of coming unstuck
▼ + stars: | 2023-07-19 | by ( Jeffrey Goldfarb | ) www.reuters.com time to read: +10 min

There will be up to $1.5 billion of costs related to separating the health care business, 3M has said. Its interest cover, after backing out estimated operating income from health care, would fall to about 4 times from 11 times. And its net debt, using all these assumptions and excluding the health care division, would swell to nearly 5 times EBITDA from less than 2 times. Back out $2.5 billion from health care, as estimated by the Morgan Stanley team, and $1.5 billion of capital expenditure costs noted by Wolfe Research. For example, the water settlement, as drafted, only envisions $4.6 billion of outlays through 2025, and the rest over the ensuing 11 years.

Persons: Mike Roman, Roman, Sackler, Johnson, Aearo, ”, Morgan Stanley, Smith, Nephew, Lauren Silva Laughlin, Streisand Neto Organizations: YORK, Reuters, U.S . Environmental, Purdue Pharma’s, Association of Metropolitan Water Agencies, Bayer, Monsanto, Aearo Technologies, Partners, Honeywell International, Siemens, 3M, Refinitiv, Reuters Graphics, Wolfe Research, Thomson Locations: . Oregon, Republic, Corning

☆ Yes, Wall Street's biggest lenders got even richer after Silicon Valley Bank collapsed
▼ + stars: | 2023-07-19 | by ( George Glover | ) www.businessinsider.com time to read: +3 min

Big banks have released their earnings over the past few days – and it's clear that Wall Street had a good quarter. Back in March, Silicon Valley Bank collapsed after massive losses in its bond portfolio caused customers like Peter Thiel's Founders Fund to pull their deposits from the lender. That deal was one reason why JPMorgan posted record profits in the second quarter, analysts said. JPMorgan made almost $22 billion in net interest income in the second quarter, up 44% from the previous year. Bank of America, Citi, and Wells Fargo also all logged higher net interest income, thanks to the Fed's aggressive tightening campaign.

Persons: Morgan Stanley, Wells Fargo, Goldman Sachs, Peter Thiel's, Jamie Dimon, Wall Organizations: First Republic, Bank of America, Citi, Fund, First, Western Alliance, JPMorgan, Federal Deposit Insurance Corporation, Government, Federal Locations: Silicon Valley, First Republic

Organizations: Republican, Republican National Committee Locations: Milwaukee

☆ CNBC Daily Open: For banks, big profits don’t mean market gains
▼ + stars: | 2023-07-17 | by ( Yeo Boon Ping | ) www.cnbc.com time to read: +2 min

This report is from today's CNBC Daily Open, our new, international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. The benchmark Stoxx 600 index retreated 0.11%, dragged down by telecom stocks after downbeat news from Nokia and Ericsson. Biggest bank gets biggerJPMorgan Chase's second-quarter net income surged 67% to $14.5 billion, or $4.75 per share. All figures beat Wall Street's estimates — and the bank's own, causing it to raise its expectations for the full year's net interest income.

Persons: Wall, Elon Musk, Sony's, Tanaya Macheel Organizations: JPMorgan Chase & Co, Headquarters, CNBC, Dow Jones, Nokia, Ericsson, Biggest, JPMorgan, First, Revenue, BBC, Activision, Activision Blizzard, U.S, Appeals, Federal, Microsoft, Activision's, PlayStation, of Locations: New York, First Republic, Southern, of New York

☆ Bulls and bears are locked in a battle for Wall Street
▼ + stars: | 2023-07-17 | by ( Nicole Goodkind | ) edition.cnn.com time to read: +9 min

New York CNN —Bulls and bears have always engaged in battle on Wall Street. Before the Bell: Why is there a growing division between bulls and bears? If a rally continues, the bulls will say that the bears missed it. If it moves in the other direction, in a swift fashion, then the bears will say that the bulls were overly optimistic. “I don’t know if it’s going to lead to a soft landing, a mild recession or a hard recession,” Dimon said during the call.

Persons: Liz Young, Bell, Young, we’re, Jamie Dimon, I’ve, Matt Egan, Dimon, JPMorgan Chase, “ tailwinds, ” Dimon, ” Jeremy Barnum, ” Barnum, Coco Chanel ’, Ellie Stevens, Shein, “, Coco Chanel, Yves Saint Laurent, Xu Yangtian, Chris Xu, “ SHEIN, ” Organizations: CNN Business, Bell, New York CNN — Bulls, Big Tech, JPMorgan, CNN, JPMorgan Chase, First Locations: New York, Ukraine, First Republic, California

July 14 (Reuters) - Wells Fargo (WFC.N) raised its annual forecast for net interest income (NII) after its profit surged 57% in the second quarter, sending its shares modestly higher. Wells Fargo reported profit of $1.25 per share for the three months ended June 30, beating analysts' average estimate of $1.16 per share, according to Refinitiv data. Shares of Wells Fargo rose 1% to $44.17 in midday trading. Wells Fargo is still operating under an asset cap that prevents it from growing until regulators deem that it has fixed problems from a fake accounts scandal. In January, Wells Fargo said it will slim down its home lending business by reducing its mortgage servicing portfolio and exiting the correspondent lending business.

Persons: Wells, NII, Charlie Scharf, CRE, Michael Santomassimo, Wells Fargo, Scharf, We're, JPMorgan Chase, Noor Zainab Hussain, Manya, Saeed Azhar, Lananh Nguyen, Arun Koyyur Organizations: Federal Reserve, U.S, Wells, U.S . Consumer Financial, JPMorgan, First, Bank, Manya Saini, Thomson Locations: U.S, Wells Fargo, Bengaluru, New York

July 14 (Reuters) - Wells Fargo (WFC.N) raised its annual forecast for net interest income (NII) after its profit surged 57% in the second quarter, sending shares up 4% in premarket trading. NII climbed 29% to $13.16 billion, benefiting from higher interest rates as Wells Fargo and other banks raised their borrowing costs following a series of rate hikes by the Federal Reserve to tame inflation. Wells Fargo reported profit of $1.25 per share for the three months ended June 30, beating analysts' average estimate of $1.16 per share, according to Refinitiv data. REAL ESTATE WOESThe provision for credit losses included a $949 million increase in the allowance for potential losses in commercial real estate (CRE) office loans, as well as for higher credit card loan balances. Wells Fargo is still operating under an asset cap that prevents it from growing until regulators deem that it has fixed problems from a fake accounts scandal.

Persons: Wells, NII, Charlie Scharf, CRE, Michael Santomassimo, Wells Fargo, Scharf, JPMorgan Chase, Noor Zainab Hussain, Manya, Saeed Azhar, Lananh Nguyen, Arun Koyyur Organizations: Federal Reserve, U.S, Wells, JPMorgan, First, Bank, Manya Saini, Thomson Locations: U.S, Wells Fargo, Bengaluru, New York

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