and becky quick has an interview with brian moynihan. >> thank you so much and want to welcome brian ry strong across the board. scott mentioned a lot of the numbers. i think it was the net interest income that had so many wondering what happens next. those numbers are strong it means that you can get deposits with low amounts of interest to people but loans at hire higher rates. what are you seeing as we get tee ke deeper into this >> good to talk to you the team at bank of america had a great quarter, $8 billion plus in earnings and 17% return on common equity and we grew it on growing loans and having deposits stabilize as the fed has withdrawn mon monetary, off the bank sheets but the deposits set up well and even through march, our deposits head up well and performed a little better than we thought we did. but the real question, what do we do. we open accounts for people and they give us deposits and we turn around and loans to people or the excess. and all have performed well late quarter. albeit that the pace of rate rise has slowed. and we see that continuing in the future and

brian moynihan -- macro outlook. brian moynihan has been saying this as others have been gloomy.they have a charts of checks written versus zelle transitions. the checks are going down back to 2020 and the zelle is going up. jonathan: it indicates the time we have going -- we have been going through. lisa: and what else can i get for how much income? can i just go point out one other issue. expectations above expectations come $1.9 trillion -- 9.9 between dollars versus the estimate of -- 9.8 billion crushing it. sonali: the competition never went away. we saw boiling back of talent at bank of america. remember how long brian went hand tried to hang on -- brian moynihan try to hang on and move bankers around. i wouldn't call it a full-scale comeback but you see activity coming back. the fixed income numbers are nothing to cry about. by side competition is stiff. every major hedge fund thinks the bond traders, when they used to trade equities. that means competition for talent. jonathan: goldman in the next hour. what have we learned about trading? sonali: the bar is so high, you

despite the lack of investment appearances, ceo brian moynihan in his comments to cnbc yesterday. >>e see and our experts see that having, you know, a mild recession, which if they could do that, unemployment never got above 4.5%, that would be a heck of an accomplishment. >> for more on this let's bring in our cnbc contributor and max wassermann it's great to have you both on. >> thank you for having me. >> what do you make of brian moy moynihan's comments. we've heard a lot of talk about that as well as earnings recessions as well. >> i think the comments are valid. if you look at the earnings in q1 of this year, they're out lower. a lot of it is the macroenvironment there are a lot of cracks with the consumer, and those are playing a part in demand and the demand is weakened across several industries so those comments make sense and a lot of that could be priced in, but not everything is priced in yet you're seeing a lot of that play in through the market. i think that's what we're seeing right now. >> you know, max, we often see banks as possible gauges of what's going on in the

alix: really an end to that statement, brian moynihan in new york city yesterday.t leads into the question of the day -- is the economy reaccelerating? the data proves that the recession doesn't seem to be coming. is the economy reaccelerating? >> i don't know that it's on superhigh okta -- octane reaccelerating but we always committed q1 worried. i think a lot of the data we've got is overmanaged for seasonal things that happen and i think the data is always over massage. i think the economy continues to perform. i think that inflation is coming down more rapidly than we think. it's because of data massaging especially in the owners rent equivalent we get on cpi. if you take that out, you can go to the grocery store and pay less then you did a month ago. i am all in on that. i think things are going to be ok this year but i don't know what that means. i will tell you at the end of the year. we are not on the precipice of recession right now and i feel alone in this maybe brian moynihan is there with me. dani: alex and i have talked to so many people who say we are

bank announced plans to cut as many as 24,000 positions or about 2% of its overall work force brian moynihanays they plan to come out quite unscathed. >> the business models that were chanced early in march were very different from the banks -- the regional bank and system and stuff. that's a very good thing for america. >> let's bring in our first gu guest. joumanna is obviously with me in the picture there. great to have you on the show. we were going through a recap of the bank earnings yesterday. more broadly, i came back from the imac meetings last week. i feel that higher interest rates are exposing vulnerabilities in the system. one of them was obviously the situation we saw with u.s. regional banks, many people saying that that now is more or less contained there are some risks to be aware of looking ahead i just wonder in your view where else we're going to to see hidden vulnerabilities in the system. >> yeah. it's a great question. good morning, everybody. obviously the latest iterations have obviously been alongside other crises we've seen over the course we've seen issues in the

they see credit card delinquencies returning to q 19 levels and brian moynihan on the call -- >> afterwing the back half of '22, we saw the pace of payments pick back up in quarter one, especially in the latter parts of the quarter consumers financial positions remains generally healthy, employed with generally higher wages, continue to have strong account balances and have good access to credit >> there you did have the best vic in about ten years. >> looking at my notes, i thought this was brian moynihan's best quarter ever. >> best quarter ever >> yeah, i do. >> why >> because every single line is good versus what i thought they would do. consumer bank with a 53-year low in loan losses isn't that fantastic >> the ceo on the call, which is on going, talking commercial real estate, as our viewers know that has been -- continues to be and will be a focus for many investors given expected losses. he said we had a total of 66 million of commercial real estate losses in 2022. 70% of that was in office loans. that's very small. how much do they have? $73 billion in commercial real estate l

david: you led an effort to pick brian moynihan, who is still the ceo of bank of america. that right? walter: that is correct. david: so that worked out ok. walter: that worked out fantastic. brian has done a wonderful -- it's not just my opinion, he has been chosen ceo of the year a couple of times, not just in the financial industry. but throughout corporate america and banking. ♪ david: let me ask you right now about something you are involved in right now, which is the giant magellan telescope. you are leading the effort to get people to fund the giant magellan telescope. why do we need the giant magellan telescope, since we have the webb telescope, that seems to be sending back nice pictures? how much better is the giant magellan going to be? walter: four times better. david: four times better. walter: four times better resolution, which means the pictures will be sharper. but the science, the way it will work, the james webb, you are seeing those pictures very sharp, but they are identifying parts of galaxies in space almost back to the beginning of the universe that

. ♪ yvonne: bank of america ceo brian moynihan says the recent turmoil that hit regional banks in theisen to the level of crisis. moynihan spoke with room -- bloomberg in new york. >> i think at the end of the day, the crisis is too strong of a word in words like that get used a lot. at the end of the day, there was a fair amount of disruption for a few weeks there. certain business models are sorted through but on the other hand, we could be the stability in the other business models. banking is a very granular business. the good news is you are seeing earnings by the broad industry come out this week and you are seeing things have sort of laid out that way, which is very specific business models because of the unique circumstances of the last four months or 36 months of masses -- massive amounts of cash put into the system. rates change and caught people and those had to be sorted out. the good news is the basic industry has reported good earnings across the board. deposits have come down but that is intended by the fed taking money out of the system. it has to come out somewhere. t

. ♪ shery: bank of america ceo brian moynihan: says the recent turmoil that had banks in the u.s. risen to the level of crisis. he spoke with bloomberg during our southside leaders forum in new york. brian: crisis is too strong a word, and words like that get used a lot. there was a fair amount of disruption for a few weeks, certain as most models were sorted through. on the other hand, we could see the stability and other business models, granular business. you are seeing earnings come out this week, you are seeing things playing out that way. it is very specific as this models, unique circumstances of the last 24 months have massive amounts of cash put in the system and rates changing. those had to be sorted out. the basic industry is purporting good earnings across the board. deposits have come down, but that is intended by the fed taking money out of the system. maxing the system is what they want to do to make credit tighter. if you look at the capitol liquidity and earnings power, it's been tremendous. that is reassuring, the making system reflects the economy in america, an

tom: bank of america chief executive brian moynihan has weighed in on recent industry turmoil while speakingmberg's sell side leaders forum in new york. he said banks are in good shape, and the disruption did not rise to the level of crisis. >> at the end of the day, crisis is too strong a word. words like that it used a lot. but there was a fair amount of disruption for a few weeks, certain business models were through. but on the other hand you see stability in other business models. tom: banks have increased emergency borrowings from the fed for the first time in five weeks, indicating financial stresses are lingering after a string of bank collapses last month. it comes during a week many u.s. banks reported earnings for the first time since the turmoil. for more, let's bring in bloomberg's european finance reporter out of frankfurt. nick, you have been weighing up these earnings out of the u.s., the big ones, but also the regionals for the first time in focus. what do they tell us about the lasting effects of rising interest rates on the sector? >> especially the big banks in the u.s. h

this changes everything. >>> now to the banks i spoke to bank of america's ceo brian moynihan yesterday the company reported earnings. those numbers came in better than expected and net interest income was up sharply, about 25%. moynihan's take on the economy is a recession is coming, but not a harsh one. >> we see and our experts see having a mild recession, which if they could do that, unemployment never got up above 4.5, that would be a heck of an accomp accomplishment. >> bank of america's portfolio was just over $99 billion at the end of the quarter that's down from $800 million three months earlier but it's considerably more than some other big banks. moynihan explained why. >> the rates we have to put on trillions of dollars because we have 1.9 trillion. you have a trillion of loans, it goes into cash you look at these things and they keep going up a lot of it is floating rate a lot of it was fixed rate that keeps marching forward. at the end of the day, we had 25% more net interest income in last year's fourth quarter and this year's first quarter. we thought we had 14.4 billion

and brian moynihan, ceo of bank of america, on the back of that company's earnings today look forwardose interviews let's do "final trades." jim? >> goldman sachs we talked about it earlier you have to respect this chart and i think we can expect ipo to start picking up >> okay. jason? >> i like t-mobile here. the multiples coming in. i like this stock going forward. >> stephanie >> corteva, they have great products, pricing power and costs are coming down. >> josh? >> ita heading back to a february 2020 high if she breaks 119, forget about it >> the market is trying to make its own move back. dow down 24 points that does it for us. i'll see you on "closing bell. "the exchange" is now. >>> and the s&p is one point away from turning positive hi, everybody. i'm kelly evans. here is what is ahead this hour. bank of america says fund managers are the most bearish they have been this year and more rate hikes ahead. the s&p at the highest level in two months and we'll look at whether you should bail or stick with the stock market and the fed needs to pivot this a

i share his thoughts on brian moynihan, lower profile than jamie dimon who is superhigh quality. and i'll go back to what i've said repeatedly. those two bank ceos as well as david solomon at goldman have been battle tested repeatedly. i guard them as great franchises, long-term holds. that's why i'm there when you have the opportunity, you buy more i'm content staying there. >> joe, bofa >> i think flows will be the story for this upcoming earnings story. they will give you strong deposit inflows. i think commercial real estate chargeoffs will be relatively low for jpmorgan and for bank of america. i would look at the usb. i think they will benefit for deposit inflows and that will be required to offset the weakness you're going to have from net interest income. it's going to impact citi, goldman sachs, morgan stanley. >> what i would tell you is from real-life experience that jpmorgan, there's a cue to open an account there still so when they bring that in, don't forget the other side of that they earn a return on those deposits and they're not giving you those high rates that

david westin will be joined by brian moynihan from the leaders form happening at bloomberg headquartersl bring that to you live at 2:30 p.m. new york time. coming up, we talk about solar. a new biden administration loan program is going to bring solar energy to some disadvantaged communities. there could be a regional bank knock on effect also. ♪ angel: this is bloomberg markets. coming up, anna han joints bloomberg tv at 3:45 p.m. new york time. this is bloomberg. alix: the government is joining forces with sunnova energy. it installs solar power -- solar panels in your home and provide services to help with your demand. the loans will be packaged off to investors. with us to speak in an exclusive interview is john berger, the sunnova energy president and ceo . congrats. $3 billion is a large number. this encompasses 90% and is a nice backstop. walk us through the process to getting here. what are you going to use those loans for? john: thanks for having us. we are very excited. this is groundbreaking and is a needle mover in a big way for not just sunnova -- for the entire industry, t

you heard bank of america, you heard brian moynihan yesterday talk about the health you're seeing.he other thing the market seems to be positioning for this super narrow set of consequences. we used to think, there is 50% chance of a recession, 50% not. there is 50% chance of 4200, there is 50% chance of 3300. what the market is telling us right now is like 3950 to 4150 is where we're going. we're going to have a mild recession and then the fed's moving the other way and everything will be rosy. charles: so before we get to that, because that sounds like later in the second half of the year, maybe second half of the year story? >> maybe. charles: i know you've been pretty conservative. everyone looking for yield, right? >> yeah. charles: help me out here. we're looking at the average one-year cd, almost 2%. average bank account is 0.2%. this is why people are buying money markets, right? but i look at all the other alternatives including high yield. something paying 8 1/2%, people watching the show, i want biggest bang for my buck. why wouldn't anybody in the world pile into this 8

and we'll walk you right up to it we also have a couple famed exclusives bank of america ceo brian moynihanrexler will be along. and here is your

discussion we'll leave it there thank you both >>> quick programming note bank of america's ceo brian moynihan will join scott on "closing bell" around 3:00 eastern today. you don't want to miss that. >>> coming up, a novel new way of regulating ai the industry should press the reset button and give data providers a chance to opt in from here on out could that happen? we'll delve into that. >>> and could the u.s. avoid a recession in the coming year he may be optimistic, but the rest of america not so much. we'll get you the details. >>> here's a look at the markets. dow is down 25 points. the s&p down only one point, as it threatens to go positive. "the exchange" is back after this ♪♪ the only thing i regret about my life was hiring local talent. if i knew about upwork. i would have hired actually talented people from all over the world. instead of talentless people from all over my house. (vo) businesses nationwide are switching to verizon business internet. from all over the world. (woman) it's a perfect fit for my small business. (vo) verizon has business internet solutions nationwide. (ma

. >> do you like jamie dimon on it brian moynihan >> that's more my go-to. >> i represented their viewsany of the people that we have had on. scott remembchler, willie walker >> i just think that jamie dimon talks about you need the class of building. that's eye of the beholder everybody says class a te density. where you have a lot of density class a, you're not having a problem. >> you heard moynihan yesterday talking about their portfolio at bank of america. >> what'd you think? >> i thought it was realistic. again, office space -- office buildings, it's an $80 billion this year. it's a big number over the next five years in terms of refinances that need to take place. there will be more equity. you're going to have a harder time converting some of these office to residential, given the floor plates, but i don't think it's risen to that level yet of the kind of concern that you heard that musk has. by the way, the guys on the banks, though, no real signs of life goldman is down again after yesterday, not much. bank of america is down over 2%, jim. >> that seems extreme. >> following

i think brian moynihan is doing a terrific job, but jpmorgan, every line item was terrific, and it'samerica just can't be. goldman, obviously, there's been very little capital markets activity didn't really matter that much to jpmorgan, which was really extraordinary. it will matter greatly to goldman. i want to know if goldman is going to take the charge that i think they should on consumer or at least split off consumer, because they got to go back to being the premium wealth management and not being the wealth management for the masses i don't think they're very good at that. we'll see what david solomon says i think david knows what their strengths are and is going to make changes as per what's necessary. so, i think goldman -- i'm looking for a new goldman to appear i'm looking at them to go back to old code. >> you're not -- some of the bull arguments lately have been, oh, here's one with not so much consumer exposure. >> that's what i want. i don't want consumer exposure i want commercial exposure hey, by the way, another thing that's happened is commercial real estate. not a

bank of america up by about 1.6% by the way, i'll be speaking with bank of america's ceo brian moynihang bell" at 3:15 p.m. eastern time. and a reminder, tomorrow, you can join cnbc's sustainable returns virtually, where business leaders and investors will share how you can make sustainability a fundamental part of your strategy, not just e ear ofgreater good, but for thgrteprit scan the code on the screen to register or you can visit cnbcevents.com we'll be right back. you can use software to help you connect and analyze data— from hvacs to elevators to lights. what if we use ai-driven insights to pinpoint inefficiency? yep. and act on it. saving energy, money... ... and emissions. yup. that's a big one. now you've built something better for everyone. that's the sustainability solution ibm and a global real estate company created. what will you create? ibm. let's create. [office sounds] ♪upbeat music♪ ♪♪ ♪when the day that lies ahead of me♪ ♪♪ ♪seems impossible to face♪ ♪a lovely day (lovely day)♪ ♪(lovely day) (lovely day)♪ ♪(lovely day)♪ a bank that knows your business grows your bus

brian moynihan, we went to brown together >> do you think the supply -- >> they're seeing dlingelinquensls, they'll go beyond that. >> do you think the supply chain issues, which you said, you thought 95% fixed were anymore resilient than we were before, or actually just back in the same place >> no. >> if there was another pandemic or another weird thing happened, that we would be in the same suit >> yes, the sad part about high interest rates is it will delay capital investment in the united states in new plants and equipment and things that would materially change our supply chain for the long-term. we never got a chance to do that >> also creating a housing shortage higher rates will create you'll get through the existing multis that are being built. and we own land that's like $18 million. we're just going to wait >> so higher interest rates makes it harder for the supply to be brought -- >> to be fixed >> it costs more to open a company, more to start a company. adds to inflation. >> when you have a supply issue, means the prices continue to go up >> no. >> you're saying there's no