Low rates drag on Citigroup, Wells Fargo earnings

NEW YORK: Citigroup and Wells Fargo signaled Friday that Britain's decision to exit the European Union will not significantly hit the US economy, but could extend earnings pressure from low interest rates.

Both big US banks reported lower second-quarter earnings, due in part to the drag from low rates. Britain's surprise Brexit vote in June is expected to delay the US Federal Reserve's time-frame for tightening monetary policy and to spur more stimulus from other major central banks.