Fed’s Lockhart Says Rising Rates to Create Risks for U.S. Banks

By: Steve Matthews

Federal Reserve Bank of Atlanta President Dennis Lockhart said rising U.S. interest rates could undermine bank profits while their exposure to commercial real-estate also remains a risk.

“For the first time in more than a decade, bankers face the potential of operating in a rising rate environment,” Lockhart said in remarks at a banking conference in Atlanta on Thursday. “Rising rates will create challenges in managing net interest margins and risks.” [Read More]