Fallout From COVID-19 Will Reduce US Banks’ Earnings; Strong Balance Sheets Support Ratings

DBRS, Inc. (DBRS Morningstar) published a commentary analyzing the effects of the Coronavirus Disease (COVID-19) on the profitability of U.S. banks. DBRS Morningstar views the U.S. banks as well positioned to handle an economic shock given their current level of earnings and considerably improved capital, liquidity and risk practices post financial crisis.