The National Information Center has reported consolidated financial statements for bank holding companies (BHCs) in 2Q12.
Although the data are not as complete compared to the Quarterly Banking Profile, they provide a good early projection of shifts in bank assets and liabilities, according to Barclays Capital analysts in a report released today.
The quarterly profile, which will soon be released by the Federal Deposit Insurance Corp., also covers savings institutions.
Top 50 banks by assets reduced their agency MBS holdings in their hold-to-maturity and available-for-sale portfolios by $15.4 billion in 2Q12, Barclays analysts noted.
Most of the decrease were in their CMO holdings. These dipped by $16 billion while the holdings of conventional and GNMA passthroughs were roughly flat, Barclays noted in its report.
The BHC with the largest increase in agency MBS holdings was Bank of America, which brought up its holdings by $15 billion. By contrast, JPMorgan Chase and Capital One lowered their agency MBS holdings by $9 billion and $7 billion, respectively.
Non-agency MBS holdings of the top 50 banks dipped by $5 billion while the CMBS holdings increased by $8 billion. Treasury holdings were up $6 billion and agency debt holdings decreased $9 billion quarter-over-quarter.
Overall bank portfolio alllocation to securities went down by $4 billion in the quarter, Barclays reported. Allocations to loans and leases rose by $69 billion, while cash, net fed funds, and reverse repo dropped $26 billion.
In terms of the loan books, C&I loans still saw strong growth, picking up $30 billion over the second quarter. The 1-4 family first-lien residential loans increased by $3 billion, the Barclays report noted.
While the total amount of securities in the bank’s portfolio stayed mostly like the previous quarter, banks showed a preference for Treasurys versus agency MBS with holdings of Treasury securities rising while that of agency MBS decreasing.