The long-awaited rebound in investment banking has yet to materialize, making for a disappointing quarter.

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by scott_jr

Citigroup CEO Jane Fraser: “The long-awaited rebound in investment banking has yet to materialize, making for a disappointing quarter.”

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  • Trading, which was stronger earlier in the year, also turned weaker. Citigroup’s revenue from that business fell 13%. JPMorgan’s revenue associated with trading equities and fixed income also dropped. “Most of the investors stayed on the sidelines” during the second quarter, Fraser said.
  • Citigroup’s corporate and investment banking unit, which helped push overall profits at the bank down 36%. Investment banking revenue fell by 24% in the second quarter, to $612 million. It wasn’t just Citigroup, though. Even JPMorgan, which churned out massive profits in its consumer business, saw investment banking fees fall by 6% from a year ago, to $1.5 billion.
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source:

https://finance.yahoo.com/news/bank-results-flash-warning-signs-for-wall-street-114703541.html