Reported about 1 month ago
Wells Fargo's CEO Charlie Scharf disclosed that the bank may incur losses of $2 billion to $3 billion from its commercial real estate office loan portfolio, despite having reserved for these potential losses. He emphasized that while overall commercial real estate performance is improving and interest rates are declining, demand for office loans will remain subdued, leading to actual losses. Scharf also highlighted the strong performance of U.S. consumers and the bank's ongoing efforts to lift a federal asset cap.
Source: YAHOO