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Good morning. Today is Friday the 13th. I'm Rina Sherbal filling in for Julie

Morgan. Our top stories today. Earning season begins as biggest U.S.

banks start the festivities. Wall Street extends rally on Thursday and

compensation is cooking. More on our top stories.

Earning season kicks off today on Friday the 13th but many are hoping for better luck as the biggest U.S. banks start the

festivities. Set to report our Wall Street Heavyweights, J.P. Morgan Chase, and Bank of America,

as well as Citigroup and Wells Fargo. E.TBiamoth Blackrock, and Trust Bank of New York

Mellon will also disclose Q4 results.

As the Federal Reserve continues to raise rates, banks would be expected to see their net interest income rise in Q4,

2022, but the earnings impact from higher rates is not quite that simple.

As rates rise, so do banks costs on deposits. In addition addition the increased cost of money has put a

damper on new stock and debt issues as well as mergers and acquisitions which

are businesses where Wall Street Banks traditionally earn hefty fees.

Taking a broader view the Fed's aggressive Street Banks traditionally earn hefty fees.

Taking a broader view, the Fed's aggressive tightening raises the risk

that the economy will fall into a recession.

The inverted yield curve warns of such an outcome.

With a dimmer economic outlook, banks are bracing by increasing

their reserves for expected losses, as credit quality typically suffers during economic

downturns. With inflation raising wages and other costs, the estimates for banks Q4 earnings are also

...