Fed Rate Cuts Will Split Banks: Variable-Rate Winners vs. Deposit Margin Losers
The Federal Reserve cut rates 50 basis points in 2025, with Fed Governor Christopher Waller signaling 50-100 basis points more in 2026. Banks holding variable-rate loans will benefit from previous rate increases, while deposit-dependent institutions face margin compression. PNC expects $200-225 million in Q4 2025 net charge-offs as commercial real estate deteriorates.
ViaNews Editorial Team (Finance)•