UBS Global Wealth Management Portfolio manager Angie Pneummon discussed the market response amid trade tension and advised customers and investors.
Citigroup defeated Wall Street Estimates For the first quarter benefit on Tuesday, its traders recorded a wind fall from the volatile markets fueling customer activity.
The earnings of the third largest American lender echoed the Wall Street rivals, including JP Morgan Chase, Bank of America and Morgan Stanley, which were also removed by strong equity trading. While the profit of the industry increased, the authorities warned that the US tariff policies put a shadow on the economic outlook.
CEO Jane Fraser said in a statement, “We continue to help our customers navigate the uncertain environment.” “When everyone is said and done, and long -running trade imbalances and other structural changes are behind us, the US will still be the world’s leading economy, and the dollar will remain reserved currency.”
Bank of America Benefits Trading Benefits, increased by interest income
CEO Jane Fraser said in a statement, “We continue to help our customers navigate the uncertain environment.” (Reuters / Evelyn Hawkstein / Reuters Photos)
Stock trading jumped in the first three months of the year as investors resumed their portfolio during the period of uncertainty on President Donald Trump’s tariff and the emergence of a low -cost AI model of Chinese Startup Deepsek.
In the quarter, the revenue of the city markets rose by 12% to $ 6 billion, which has crossed its earlier expectations for the percentage profit of mid–assign-consequences. Equity revenue increased by 23%, which was associated with more customer activity.
Fixed Income Revenue, a major driver of the city markets business, made a jump of 8% mainly by rates and currencies, which were mainly picked up by rates and currencies.
According to estimates compiled by LSEG, CITI’s net income rose by 21% to 21% to 21% to $ 4.1 billion or $ 1.96 per share. Wall Street expected the bank to earn $ 1.85.
| Langer | Security | Last | Change | Change % |
|---|---|---|---|---|
| C | Citygroup Inc. | 63.25 | +1.15 |
+1.85% |
| JPM | JP Morgan Chase & Company. | 231.96 | +2.31 |
+1.01% |
| BAC | Bank of America Corp. | 37.41 | +0.08 |
+0.21% |
| MS | Morgan Stanley | 109.18 | +1.32 |
+1.22% |
Share of New york bank 1.4% rose in premarket trading. He has fallen by 10.2% after Monday’s closure this year.
Fear of tariff spark economy
The CEO of Wall Street has warned of a possible decline of the American tariff, which has cloudy the economic outlook and inspired the fears of recession. This month, bank shares were pummailed while announcing the American tariff, an immediate change from optimism at the beginning of the year of Trump’s supporter business.
Tariffs can rule on inflation and disrupt economic growth, caaling companies to reduce and borrow. Weakening the consumer spirit can also lead to the weight of expenses and demand for loan.
Big bank CEOs weigh on Trump’s tariff: ‘considerable disturbance’
Chief Financial Officer Mark Mason told reporters on a call, “There is a great deal of uncertainty around tariffs and trade policy, but how it will develop, but there is also uncertainty around the broad agenda, deragulation, tax policy, etc., which is putting pressure down on the approach to development.”
The city credit cost $ 2.72 billion in quarters compared to $ 2.37 billion a year ago.
Banking, Wealth Arms Shine
Two divisions Recently revived by CEO Showed improvement in the first quarter. Banking led by former JP Morgan Chase Executive Faith Raghavan increased by 12% in revenue.
City’s investment banking fee rose by 14% to $ 1.1 billion in the quarter, as it earned more than advising on deals.
The bank recommended several notable transactions during the quarter, including a $ 14.6 billion deal for intra-sealler therapy of Johnson & Johnson, Johnson & Johnson’s neurological drug manufacturer.
Between the stock cell-offs, don’t panic, experts say
In the Wealth Management Unit operated by former Bank of America’s executive Andy Seig, the revenue increased by 24% to a record of $ 2.1 billion.
The CITI is undergoing a multi-year attempt under CEO Fraser to streamline its operations and improve returns, while trying to fix regulatory problems for a long time.
While City completed most of its restructuring last year, the bank is still working on improving its data quality management and regulatory reporting.
The bank cut the bonus paid to the top officials in 2024, which were not making adequate progress on compliance issues.
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City plans to reduce its dependence Information technology contractor And for this, rent thousands of employees as this regulator struggles with punishment, Reuters reported last month.
The bank repurged with $ 1.75 billion shares in the first quarter, which exceeds the pre -1.5 billion expectations of $ 1.5 billion.
CITI is targeting the same level of shares in the second quarter.
