Deposit Costs Ease as Bank Stocks Rally

U.S. banks reduced interest-bearing deposit costs by a median 43 basis points in 2025, modestly outperforming expectations, according to S&P Global Market Intelligence. One analyst noted that deposit repricing tracked “as well as we could hope,” though competition for funding remains intense and pricing discipline varies by market.

Another S&P article discussed how most U.S. bank stocks outperformed the broader market in January, posting a median total return of 6.4%, even as the biggest banks lagged.