Jefferies Trading Revenue Falls 36% as Fixed Income Tumbles

  • Investment-banking gains contribute to earnings rebound
  • Bond-trading revenue plunges 83%, equity trading down 22%

Jefferies Vows Rebound After Trading Revenue Falls 36%

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Jefferies Group, the investment bank whose trading results are seen as a bellwether for Wall Street firms, said fourth-quarter revenue from that business fell 36 percent as fixed-income sank for a fourth straight quarter.

Revenue from trading stocks and bonds dropped to $132.1 million as fixed-income tumbled 83 percent and equities declined 22 percent in the three months ended Nov. 30, the New York-based company said Tuesday in a statementBloomberg Terminal. Firmwide revenue slipped 2.2 percent to $513.1 million. Gains from investment banking and lower costs helped push net income to $24.7 million, compared with a loss in the prior year’s fourth quarter.