Finance
BofA Tops Estimates as Fixed-Income Traders Fuel Profits
- Net interest income rises 25%, more than analysts expected
- CFO says Bank of America’s business ‘firing on all cylinders’
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Bank of America Corp. first-quarter profit beat estimates after its fixed-income traders delivered a windfall large enough to cover the rising cost of the bank’s souring loans.
Revenue from fixed-income, currencies and commodities trading unexpectedly rose almost 30% to $3.4 billion in the first quarter, the highest in a decade. That was driven by improved performance in mortgage, credit and municipal products, and increased secured-financing activity for clients, the bank said in a statement Tuesday.