NEWS UPDATES

US bank profits dip as loan loss provisions jump in response to global uncertainty - FDIC

US bank profits dropped 6.5% in the first quarter of 2022 to $59.7 billion, as larger firms grew their loan loss provisions in response to heightened economic and geopolitical uncertainty, the Federal Deposit Insurance Corporation reported Tuesday.

Bank profits were down 22.2% compared to the first quarter of 2021, and was driven by banks with over $10 billion in assets setting aside more funds to guard against loan losses.