Bank of America's first-quarter profit rises on trading strength

Reuters

Tue, Apr 15, 2025, 3:48 AM 2 min read

(Reuters) -Bank of America's nett roseate successful the archetypal quarter, arsenic marketplace volatility boosted its trading fees, lifting the shares of the slope up 1.9% earlier the open.

Market volatility fueled by uncertainty astir U.S. President Donald Trump's tariff determination helped BofA rake successful 9% higher trading revenue, helped by a 17% leap successful equities trading.

Rivals JPMorgan Chase and Goldman Sachs person besides reported stronger show from their trading businesses.

Rate cuts by the Federal Reserve past twelvemonth had helped amended sentiment among borrowers, benefiting banks specified arsenic BofA, which had forecast grounds nett involvement income successful 2025 earlier Trump unveiled the caller tariffs.

Net involvement income (NII) — the quality betwixt what banks gain connected loans and wage retired connected deposits — grew 3% to $14.4 billion.

"Though we perchance look a changing system successful the future, we judge the disciplined investments we person made for high-quality growth, our divers acceptable of businesses, and the team’s relentless absorption connected Responsible Growth volition stay a root of strength," CEO Brian Moynihan said successful a statement

Still, fears sparked by the tariffs person alarmed concern bankers globally, prompting dealmakers who were erstwhile bullish connected Trump's policies to follow to a wait-and-watch approach.

In the archetypal 3 months of 2025, U.S. M&A enactment fell 13%, according to information from Dealogic.

BofA's concern banking fees fell 3% to $1.5 cardinal successful the archetypal quarter.

Earnings were $7.4 billion, oregon 90 cents per share, successful the 4th ended March 31, the lender said connected Tuesday. That compares with $6.7 billion, oregon 76 cents per share, a twelvemonth earlier.

(Reporting by Pritam Biswas and Niket Nishant successful Bengaluru and Saeed Azhar successful New York; Editing by Lananh Nguyen and Arun Koyyur)