BofA's Moynihan says 'we potentially face a changing economy' after stock traders post record haul

Bank of America (BAC) reported a first-quarter emergence successful profits and gross driven by robust trading results, becoming that latest large slope to payment from the marketplace volatility triggered by the commencement of President Trump’s tariff rollout successful February and March.

CEO Brian Moynihan said successful a connection that "our concern clients person been performing well" and "consumers person shown resilience."

At the aforesaid clip helium acknowledged "we perchance look a changing system successful the future" — a motion to the uncertainties up arsenic immoderate of Trump's much assertive tariffs are inactive successful question. His CFO told reporters the bank's probe squad doesn't spot a recession happening.

Total income and trading gross for the country's second-largest slope was up 9% from the year-ago play to $5.66 billion, its highest quarterly haul successful much than a decade. Bank of America's gross conscionable from trading equities was up 17% to $2.2 billion, reaching the highest ever for 1 quarter.

JPMorgan Chase (JPM), Goldman Sachs (GS) and Morgan Stanley (MS) besides reported jumps successful trading amid marketplace volatility during the archetypal quarter.

However, concern banking fees dropped astatine Bank of America arsenic companies became much cautious astir caller deals amid the uncertainties surrounding Trump’s commercialized policies. Those fees fees fell 3% from the twelvemonth agone play to $1.52 billion.

Other large Wall Street banks besides reported pullbacks successful their concern banking operations during the archetypal quarter.

Total profits for Bank of America were $7.4 billion. That fig was 11% higher than a twelvemonth agone and exceeded what analysts expected. Its banal was up successful pre-market trading.

The bank’s important measurement of lending revenue, known arsenic nett involvement income, was $14.6 billion. That was wrong the scope of what it had predicted. It besides maintained its full-year guidance for earning $15.5 cardinal to $15.7 cardinal successful the last 4th of this year.

But determination were signs that Bank of America expects recognition conditions to worsen. It acceptable speech $1.48 cardinal successful recognition provisions for imaginable aboriginal losses, much than 12% than it acceptable speech a twelvemonth ago.

CFO Alastair Borthwick told reporters "our probe squad astatine this constituent doesn't judge we'll spot a recession, and our clients proceed to amusement encouraging signs. So employment is evidently steadfast and consumers are proven resilient. The spending crossed channels and the recognition prime of our indebtedness portfolio remains solid."

Click present for in-depth investigation of the latest banal marketplace quality and events moving banal prices

Read the latest fiscal and concern quality from Yahoo Finance