Interview with Brian Moynihan, CEO of Bank of America, on "Face the Nation" with Margaret Brennan, August 3, 2025

MARGARET BRENNAN: We are pleased to have Bank of America's CEO, Brian Moynihan, join us today. Good morning, Brian.

BRIAN MOYNIHAN: Thank you, Margaret. It's good to be here once more, and I hope you're well.

MARGARET BRENNAN: I'm aiming for some clarity on economic developments. Your economists predict no interest rate increases or recession this year. Has that perspective shifted following the recent job figures?

BRIAN MOYNIHAN: Our forecast remains the same. Although growth is less robust than previously expected due to factors like trade disputes, we still foresee growth at around 1.5%. This increase will gradually continue in the coming years. To manage inflation, we anticipate the Federal Reserve might start reducing rates by mid-next year, aiming for a more normal rate around 3%.

MARGARET BRENNAN: Interestingly, two Fed members have expressed a need for rate adjustments. Yet, your team maintains such moves are unnecessary now?

BRIAN MOYNIHAN: Indeed, they see no immediate moves. Market speculations vary, but the focus should remain on inflation control, and the anticipated normalizing of rates will likely be beneficial for our economy's health.

Understanding Tariff Impacts

MARGARET BRENNAN: The Wall Street Journal recently reported that increased tariffs could represent one of the greatest tax hikes, at $360 billion annually. Do you think this burden is overstated, and will it mostly affect foreigners?

BRIAN MOYNIHAN: It's unprecedented. Historical comparisons are tough, given the different global conditions. Our analysts suggest tariffs add 30 to 40 basis points to inflation. However, businesses are currently pausing investments as they assess these changes and anticipate policy outcomes.

Most American businesses are in a state of wait-and-see, especially regarding significant policy shifts in trade, taxes, deregulation, and immigration influenced by the new administration.

The Role of Artificial Intelligence

MARGARET BRENNAN: The recent job data shows a slowdown. Artificial Intelligence is cited as a factor. What impact do you see it having on employment?

BRIAN MOYNIHAN: AI is transformative. When I started with the company, we had 285,000 employees, now reduced due to tech advancements, yet we serve more clients efficiently. AI represents new opportunities and could be daunting or empowering, depending on its adoption.

Despite fears, history indicates that technology frequently creates jobs, although the present effects of AI are still unfolding as companies explore its potential.

Challenges with Data Integrity

MARGARET BRENNAN: Following the controversial firing of the chief statistician responsible for job reports, concerns about governmental data integrity have been raised. What is your view?

BRIAN MOYNIHAN: This topic edges into political territory. However, accurate data's crucial and obtaining it requires evolving beyond traditional surveys that suffer from decreasing response rates. We focus on real-time data from consumer and business activities for insights, an approach that official statisticians might also consider.

Responding to Political Allegations

MARGARET BRENNAN: Earlier this year at Davos, former President Trump claimed Bank of America discriminated against conservative businesses. How do you address this assertion?

BRIAN MOYNIHAN: With 70 million clients and a dominant role in small business lending, we don't discriminate. Our lending decisions prioritize risk management and regulatory guidance, rather than political factors, ensuring sound business practices.

MARGARET BRENNAN: Are there any industries you avoid collaborating with due to ethical or business concerns?

BRIAN MOYNIHAN: We engage broadly across industries, from energy to firearms. Individual lending choices are risk-based, and clarity from regulators would enhance our decision-making.

MARGARET BRENNAN: We appreciate your insights today, Brian. We'll return shortly with more on Face the Nation.