Prognosis '96 Banking

Industry Outlook -- Finance: BANKING

PROGNOSIS '96--BANKING

Positives

-- The financial condition of banks is excellent and leaves them well prepared to weather any economic slowdown.

-- Managed properly, the ongoing consolidation in the industry will make it more efficient.

Negatives

-- Consumers have been loading up on debt, and consumer loan delinquencies are rising.

-- Profit margins on consumer and corporate loans could decline, hurting bank earnings.Return to top

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