A sharp drop in fixed-income trading slammed results at Bank of America. Profit also fell at Wells, but the bank managed to grow revenue. Fred Katayama reports.
Profit what was it two of the US's largest banks a sharp drop in fixed income trading slam quarterly results that Bank of America. Profit at the US the second largest bank slid 18%. Revenue also felt that drop in trading was more than what rival JPMorgan Chase experience in the quarter. Bank of America also drastically hike them on set aside for credit losses it's one of the biggest lenders to the. Oil and gas industry which has been hit hard by the plunging crude oil prices. Analysts like Guggenheim partners are clusters germs see some bright spots saying. Bank of America continues to make progress on its key priorities of growing core loans in reducing core expenses. BofA shares which are vastly underperforming those of its rivals this year gaining ground in early trade. Profit also fell at the third largest bank Wells Fargo. But it's the first big American bank reporting a rise in revenue helped by strong performance in mortgage banking. Also picked lending to the energy industry the bank set aside more than one billion dollars to cover bad loans wells Fargo's shares fell in early trading.