Rate cuts putting squeeze on banks.(business)

Publication: Las Vegas Review-Journal (Las Vegas, NV)

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COPYRIGHT 2003 Las Vegas Review-Journal

BYLINE: JOHN G. EDWARDS, REVIEW-JOURNAL

Local bankers say the Federal Reserve Board is starting to squeeze their loan profits.

Bankers Thursday were reacting to the Federal Reserve Board's Wednesday decision to cut short term rates by one-quarter of a percent to 1 percent, the lowest in 45 years.

Banks make some of their profit on the difference between the rates they charge for loans and the rates they pay for deposits. But they say it's getting hard to cut their deposit rates much more even while competition may force them...

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