US Banks: Changes, Expectations, and Results for the Second Quarter.

On June 27, the FDIC (Federal Deposit Insurance Corporation) issued a call for public comment on proposals to modify the Enhanced Supplementary Leverage Ratio for U.S. bank holding companies identified as globally systemically important (GSIBs) and their depository institution subsidiaries, as well as proposals for other related regulatory changes.

The Basel Committee has established that the minimum leverage ratio (Tier 1 capital divided by Total Leverage Exposure) for banks, in general, should be 3 percent.

In the United States, this ratio is called the Supplementary Leverage Ratio (SLR). Similarly, in the United States, the SLR for GSIBs' parent companies is 5%, and for their insured depository institutions, it is 6%. These levels are known as the enhanced Supplementary Leverage Ratio (eSLR).

The main proposal is to modify the buffer over the SLR applicable to GSIBs to equal 50% of the surcharge under Method 1 of the Federal Reserve Board's risk-based Capital Surcharge Framework for bank holding companies.

Comments were also requested regarding a possible change in the calculation of the total exposure of depository institution holding companies to exclude Treasury securities recorded as trading assets on these organizations' balance sheets.

The proposed amendment to the eSLR could have various effects on the balance sheets of large US banks. The main change that could be observed is an increase in their Total Leverage Exposure.

Furthermore, the exclusion of Treasury securities from the exposure level calculation will likely lead to increased demand for these securities from these institutions.

On the other hand, it is worth remembering that on June 18, the Federal Open Market Committee (FOMC) of the Federal Reserve (Fed) unanimously decided to keep the federal funds rate unchanged, placing it within a range of 4.25%-4.50%. The statement reaffirmed the Committee's assessment of the evolution of economic activity, noting that economic activity has expanded at a solid pace according to recent indicators.

The observation that sharp changes in net exports have distorted the data was also confirmed. It was noted that the unemployment rate remains low, and the labor market remains solid. Once again, the observation that inflation remains somewhat elevated was confirmed.

This has been reflected in notable advances in the financial margins of the major banks in the United States.

In this regard, it is worth noting that JPMorgan Chase & Co. reported a 2.0% YoY increase in this metric during 2Q25, Citigroup Inc. reported a 12.5% YoY growth, Bank of America Corporation showed a 7.1% YoY increase, although Wells Fargo & Company presented a 1.8% YoY decline.

In terms of quarterly net income, JPMorgan Chase & Co. reported a 17.4% year-over-year decline, reflecting weakness in its Corporate division; in contrast, Citigroup Inc. posted 24.9% year-over-year growth; Bank of America Corporation posted a 3.7% year-over-year increase; and Wells Fargo & Company posted 11.9% year-over-year growth.

Finally, the valuations of the securities of the main American banks have shown a remarkable performance throughout the year at the close of 15/July/25: JPM (+19.5%), C (28.9%), BAC (5.0%), WFC (12.3%).

The increase in these banks' share prices has been the result of a combination of factors: recent, predominantly positive reports, robust growth in financial margins as benchmark rates are expected to remain above 4% for most of the remainder of the year, and the likely review of the aforementioned regulatory measures that would allow the banks to expand their balance sheets.