Wells Fargo CFO Says Trading Slowed Sharply in Late September

Wells Fargo shares declined in premarket trading Tuesday after the bank posted mixed third-quarter results: earnings topped estimates, while revenue fell short. Profit and loan growth were stronger, and returns improved, but weaker trading activity weighed on revenue. 85. 66 per share a year earlier.

317 billion. 589 billion a year earlier. 2%. 517 billion, supported by higher loan balances, growth in investment securities and repricing of fixed-rate assets.

Those gains were partly offset by lower rates on floating-rate assets and higher deposit costs. 353 billion, as lower trading gains and Venture capital investment returns offset stronger advisory and banking fees. Net trading gains dropped 21% from a year earlier. On a media call, Wells Fargo's chief financial officer said client trading activity slowed sharply in the final weeks of September, weighing on quarterly results.

The executive said the bank continued to have a healthy merger and acquisition and investment banking pipeline, with activity spanning several industries. 656 billion. The bank opened approximately 660000 new credit card accounts during the quarter. Auto originations increased 15%, and average auto loan balances rose 31%.

Premier client assets grew 10%. 236 billion, supported by higher lending and deposit balances. 008 billion. 835 billion.

Fixed-income, currencies and commodities revenue fell 7%, and equities revenue climbed 21%. 104 billion. Client assets increased 11%, and average loans grew 16%, primarily reflecting securities-based lending. Average deposits advanced 9%.

483 trillion. 743 billion, helped by efficiency initiatives, including an 8% reduction in headcount. 029 billion from $681 million a year earlier. 5 billion of common stock during the quarter.

CEO Charlie Scharf said consumer spending remained healthy, loan delinquencies were low and businesses continued to have strong balance sheets. He cited higher interest rates, elevated oil prices and persistent inflation as risks. At the same time, he said investment in artificial intelligence infrastructure, strong employment and wage growth continued to support the economy. Wells Fargo reaffirmed its 2026 guidance, forecasting net interest income of approximately $50 billion.

7 billion. 22 in Tuesday's premarket trading, according to Pro data. Charlie Bilello said Iran war inflation is “Rewarding Big Oil” and highlighted a 56% spread between XLE and XLY.