Wells Fargo's Second Quarter Net Interest Income Falls Short of Expectations, Stock Price Drops

Wells Fargo experienced a year-over-year decline in net interest income for the second quarter, falling below analyst estimates due to increased funding costs from higher interest rates. Overall earnings and revenue exceeded Wall Street expectations. Wells Fargo's stock price dropped over 5% in pre-market trading following the earnings report. Non-interest income from fees rose, helping to offset the decline in net interest income. Investment banking, advisory, and trading fees performed strongly. The bank repurchased $12 billion in stock in the first half of the year and plans to increase its quarterly dividend by 14%.