Citibank cuts prime from 16 1/2% to 16%

May 26, 1982

Citibank, the country's second-largest bank, lowered its prime rate to 16 percent from the 161/2 percent level that has prevailed in the banking industry since February.

No bank immediately followed Citibank's move, which came after a decline in money-market interest rates which has reduced the bank's cost of funds, analysts said.