American financial giant Wells Fargo’s Chief Financial Officer, Mike Santomassimo, indicated on Tuesday (September 9th) that American consumers are increasing spending and paying bills on time, reflecting their healthy financial conditions.
At a conference, Santomassimo informed investors, “Despite some reports of market slowdown that you may come across, what we see is that consumer activity remains quite strong, and consumers’ credit performance continues to be quite good.”
He mentioned that the bank’s client deposits and asset structure remain stable, stating, “We haven’t seen any significant changes in consumer trends at all. Nor have we seen consumers facing price pressures.”
Santamassimo pointed out that the bank’s trading division will contribute more to the bank’s overall Net Interest Income (NII), expecting the full-year NII for 2025 to be roughly flat at $47.7 billion compared to 2024.
As of Tuesday’s closing, Wells Fargo’s stock price had risen by 2% to reach $80.73.
This year, the Federal Reserve lifted the punitive measures imposed on Wells Fargo in 2018 — restricting its total assets from exceeding $1.95 trillion. After seven years of restructuring, the bank is now permitted to grow unrestricted.
With the removal of the asset cap, Santomassimo stated that the company will shift its focus from regulatory issues to expanding banking operations in commercial and corporate investments, as well as the wealth management sector.
He added that the bank might consider acquisitions to enhance its payment capabilities or capabilities in other product areas, though such opportunities come with high thresholds.
Wells Fargo is a nationwide bank headquartered in Sioux Falls, South Dakota. It is the fourth-largest bank in the US, with 8,050 branches, 13,000 ATMs, and 2,000 independent mortgage branches.
As the second-largest retail mortgage company in the US, Wells Fargo signs one out of every four home loans, providing a total of $1.8 trillion in home mortgage loans. It stands as one of the most valuable bank brands, ranked 47th among the Fortune 500 companies in the US.