“As I previously highlighted, we would expect deposit betas to accelerate as rates continue to rise and customer migration from lower yielding to higher yielding deposit products would likely increase as well.”

In context

“s grew for the fourth consecutive quarter and were up 11% from a year ago, with increases in both our commercial and consumer portfolios. I'll highlight the specific growth ogres when discussing operating segment results. Average loan yields increased 19 basis points from a year ago and 27 basis points from the first quarter, reflecting the benefit of higher rates. Average deposits increased $10 billion or 1% from a year ago, with growth in consumer banking and lending, offsetting declines across our other operating segments. The decline in average deposits from the first quarter reflected seasonality of tax payments as well as outflows from commercial and wealth clients. Our average deposit cost increased one basis point from the first quarter, driven by corporate and investment banking. As I previously highlighted, we would expect deposit betas to accelerate as rates continue to rise and customer migration from lower yielding to higher yielding deposit products would likely increase as well. Turning to net interest income on slide 7. Second quarter net interest income increased $1.4 billion or 16% from a year ago and $977 million or 11% from the first quarter. The growth from the first quarter was primarily driven by the impact of higher rates, which increased earning asset yields and reduced premium amortization from mortgage backed securities, we also benefit from higher loan balances and one additional day in the quarter. We started the year expecting full year net interest income to grow by approximately 8% compared with 2021. Last quarter, we raised our guidance to an increase in the mid-teens. With the market now expecting not only more rate hikes but also larger ones, we currently expect net interest income in 2022 to increase approximately 20% from 2021. And as a remi”