The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.

Fixed income: Trading boosts bank revenues

Trading is bringing in the money for Wall Street, but is it artificial?; Fed might not unwind programmes next year

residential mortgages purchased by the Fed

A glance at the third-quarter reports from Wall Street indicates that trading revenues are still the key driver of earnings. Goldman Sachs reported almost $6 billion in fixed-income, currencies and commodities net revenues for the quarter, JPMorgan reported just over $5 billion and Citi and Bank of America around $4 billion each. In equities trading, Credit Suisse and Goldman Sachs were the best performers, each with about $1.84 billion in revenues. Analysis of second-quarter results by the Office of the Comptroller of the Currency indicates that the quarter had the sixth-highest level of trading ever recorded. From the earnings reported so far, the third quarter looks to be on a par.

Including principal trading, trading revenues at Goldman Sachs in the third quarter accounted for 75% of total revenues. JPMorgan’s trading revenues accounted for 79% of its investment banking revenues in the same quarter.

Fixed income, and particularly mortgage and credit product trading, has been driving revenues, say company earnings reports. Volumes for TBA mortgages (those issued by Fannie Mae, Freddie Mac and Ginnie Mae) have been high.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree