Consistent with the slowing economy, conditions for the nation’s FDIC-insured depository institutions remained mixed in the third quarter. After a disappointing second quarter, commercial banks’ earnings rebounded in the third, approaching the record-setting levels reached in the first quarter. Third-quarter net income totaled $19.3 billion, up 31.6% from the second quarter, but still 1.32% off the $19.5 billion posted in the first. Gone were large banks’ sizable restructuring and credit-related charges, which sapped the industry’s second-quarter results.
Suggested citation: "Banking Conditions," Federal Reserve Bank of Cleveland, Economic Trends, no. 01-01, pp. 17-19, 01.01.2001.