BofA’s profit falls on shrinking interest income

Bank of America’s (BAC.N), opens new tab profit fell in the second quarter as its income from interest on loans shrank and it set aside more money to cover potential credit losses.

A better-than-expected forecast for fourth-quarter net interest income (NII), however, sent shares up 1% in premarket trade.

“The strength and earnings power of our leading consumer banking business is complemented by the growth and profitability of our global markets, global banking, and wealth management businesses,” CEO Brian Moynihan said in a statement on Tuesday.