While big banks reported blockbuster quarters driven by trading revenue and investment fees, regional lenders — which focus on traditional deposit-taking and lending — are about to give a different read on the economy.
With inflation trending down, and retail sales numbers edging up, the Federal Open Markets Committee is going into its late July meetings with fairly positive numbers.
All of the spending on the AI infrastructure buildout is contributing to economic growth. But that kind of investment won’t necessarily support the broader economy over the long-run.
Three big banks reported on Tuesday that credit card spending is up. According to Bank of America, its customers charged more on travel and entertainment, along with necessities like gas.