BofA Expects Higher Interest Income and Investment Banking Fees in Q1

BofA Sees Stronger Revenue in the First Quarter

On March 10, 2026, Reuters reported that Bank of America expects net interest income to grow by at least 7% in the first quarter, while investment banking fees are expected to rise 10%. The update came from Co-President Dean Athanasia at a conference in New York.

The bank also said global markets revenue is set to rise by a low double-digit percentage. Reuters noted that market volatility has helped this business deliver its 16th straight quarter of year-on-year growth. 

Lower Deposit Costs and Market Activity Help BofA

Reuters said Bank of America had already forecast 5% to 7% growth in net interest income for the full 2026 fiscal year. Net interest income is the difference between what a bank earns on loans and what it pays on deposits.

According to Reuters, US banks have benefited as older fixed-rate assets were replaced over time with higher-yielding assets. The report also said the Federal Reserve’s rate cuts in late 2025 helped banks lower deposit costs, which supported earnings. 

BofA Says Consumer Spending and Credit Quality Remain Solid

Reuters also reported that consumer spending is still rising at a 5% annual rate and that credit quality remains in good shape, according to Athanasia. He added that final rules for large-bank capital requirements could lower the amount of capital the bank needs to hold.

Overall, the outlook suggests Bank of America entered the first quarter with support from higher interest income, stronger deal activity, and active markets. That gave investors a more positive view of the bank’s near-term performance.