BofA profit beats estimates on interest income, gains in investment banking, trading

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Oct 17 - Bank of America beat Wall Street estimates for quarterly profit on Tuesday as it joined rivals in earning more from interest payments, while benefiting from a better-than-expected performance of its investment banking and trading divisions.

Revenue at BofA's consumer banking unit rose 6% to $10.5 billion in the third quarter. Spending on debit and credit cards also rose 3% in the quarter, BofA reported. "What we'll be trying to do from here is maintain discipline and we maybe flattish from here on. We'll see how that develops over the course of the next year," Borthwick said.

Lenders have seen their interest income swell as they have more room to charge higher rates on loans after the Federal Reserve raised borrowing costs in its fight against inflation.Lending giants JPMorgan Chase , Citigroup and Wells Fargo also reported a surge in NII on Friday and raised their forecasts for the key metric.

 

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