Bank of America has posted a drop in fourth quarter profit as historically low interest rates. they've hurt consumer banking business. net income applicable to common shareholders. it was down to $2000,000,000 or $0.59 per share for the quarter ended December 31 from $5000,000,000 or $0.74 per share loss to.
Analysts on average had expected a profit of $0.55 per share according to this estimate from definitive. the second largest U. S. bank by assets bank of America seeing as an economic bellwether. it's reported 13 percent fall in consumer banking revenue to $2000,000,000.
Citing lower rates and a fall in credit card activity net interest rate our income at big U. S. banks. it does come under pressure as federal reserve. it does cut interest rates to near 0 to counter any science awfully quickly declines during the pandemic of bank of America relies on high interest rates to drive its profit growth as it has a large pool of deposits and rate sensitive mortgage securities separately.
The second largest U. S. bank said the boards had approved $2000,000,000 share repurchase program in the first quarter after getting the green light from regulators to resume buybacks last month.