Bank of America Masters Main and Wall Streets
The big lender gained from interest-rate increases but also reported its best first-half revenue in a decade from trading stocks, bonds and currencies.
All smiles: Brian Moynihan, chairman and chief executive officer of Bank of America.
Photographer: Jeenah Moon/Bloomberg
The traditional bankers are still looking better than their Wall Street trader cousins at most US banks with one exception: Bank of America Corp. Like other Main Street banks, the country’s second-largest lender has gained from interest-rate increases this year, but on Tuesday it also reported its best first-half revenue in a decade from trading stocks, bonds and currencies.
Revenue growth in its markets arm contrasted starkly with falling numbers at Morgan Stanley, which also reported on Tuesday, and at JPMorgan Chase & Co. and Citigroup Inc., whose results were out last week. In the second quarter, Bank of America also gained ground in investment banking fees while others have shown flat or falling numbers. None of this bodes well for Goldman Sachs Group Inc., which is expected to publish its worst results in some time on Wednesday.