Uncertainty Chips At Some U.S. Banks' Loan Growth, NII Expectations In Q1 2025

Summary

• Most US banks kept their 2025 guidance intact during first quarter updates, but some amended their expectations over fears of an economic downturn.
• Banc of California, Comerica, Veritex Holdings, and Fulton Financial lowered loan growth forecasts, citing economic uncertainty and competitive pressures in commercial real estate.
• Truist Financial and Wells Fargo revised NII growth projections downward, attributing changes to interest rate environments and potential prolonged slower growth.
• Executives emphasize transparency but acknowledge significant unknowns in factors like interest rates, deposit mix, and loan growth affecting future performance.

ultramarine5

Most US banks kept their 2025 guidance intact during first quarter updates, but some amended their expectations over fears of an economic downturn.

Loan growth took the most hits from the banks that reevaluated their expectations, followed by net