Bank income fell sharply
Here’s the latest from the Federal Deposit Insurance Corp:
Federal Deposit Insurance Corporation-insured commercial banks and savings institutions reported net income of $28.7 billion for the third quarter of 2007, a decline of $9.4 billion (24.7 percent) from the third quarter of 2006. A steep increase in provisions for loan losses, as well as a decline in noninterest income, were chiefly responsible for the year-over-year earnings decline. The last time that banks earned less than $30 billion in a quarter was in the first quarter of 2003.
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