Bank of America CEO cites higher US tariffs and dealmaking momentum as drivers for expected trading revenue increase.
Bank of America expects its second-quarter trading revenue to rise 15% year-over-year, driven by market volatility linked to higher US tariffs. CEO Brian Moynihan noted that comparisons with last year’s strong performance require caution, as Q2 2023 marked a rebound period post-pandemic.
Moynihan highlighted that investment banking remains resilient, with a full pipeline for initial public offerings and renewed momentum in global dealmaking. Wealth management revenue is also projected to grow in the low teens percentage-wise compared to the prior year.
The CEO added that consumer spending and credit quality remain stable, supported by a strong labor market despite inflationary pressures and elevated interest rates. Market volatility has not deterred larger transactions, with activity levels holding steady.