Commercial

Huntington responds to deposit cost competition pressure with fee growth

Huntington Bancshares is facing pressure from rising deposit costs, with second-quarter deposit costs increasing 6 basis points quarter-over-quarter to 1.88%. Although the CFO noted that fee income growth could offset some of the pressure, net interest income expectations were revised down to the low end of the target range or below. At the industry level, large regional banks are generally facing intensified deposit competition, with some banks identified as most vulnerable to the impact.