Bank of America shares dropped Tuesday after executives said the lender’s net interest income growth was falling because of declining interest rates and a slowing U.S. economy.
Despite posting a record first-quarter profit driven by cost cuts and strength in the bank’s Main Street lending operations, shares of the company fell 2.7% at 10:09 a.m.
The stock decline steepened after Chief Financial Officer Paul Donofrio issued guidance on net interest income during a conference call with analysts. He said that NII grew 6% last year under more favorable conditions.
