Wells Fargo earnings fall short of estimates as low rates hit interest income

Wells Fargo on Wednesday reported disappointing earnings for the third quarter as low rates put pressure on the bank's net interest income.

"Our third quarter results reflect the impact of aggressive monetary and fiscal stimulus on the US economy," Wells Fargo CEO Charles Scharf said in a statement.

That steep decline comes as the Federal Reserve has kept interest rates at historically low levels in response to the coronavirus pandemic.

The bank's noninterest income also topped analyst expectations, coming in at $9.5 billion, as deposit, card and investment fees all grew on a quarter-over-quarter basis.

Wells Fargo shares have been under pressure this year as the company grapples with the economic slowdown sparked by the pandemic.

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