KeyCorp (KEY.N), opens new tab forecast a bigger drop in average loans in 2024 than previously anticipated on Thursday, and posted a 5% fall in second-quarter profit as costlier deposits eroded the regional lender’s interest income, sending its shares down 2% in premarket trading.
Elevated interest rates have stymied loan activity as customers remain wary of borrowing at higher costs, while banks are shelling out more on deposits to prevent clients from chasing better returns elsewhere.
Source: REUTER
