Wall Street

JP Morgan says second-quarter trading revenue about flat from year ago

Daniel Pinto, JPMorgan's chief executive of corporate and investment bank.
Simon Dawson | Bloomberg | Getty Images

J.P. Morgan Chase, the world's biggest investment bank by revenue, said trading revenue in the second quarter is likely to be about unchanged from a year ago amid charges related to taxes and accounting rule changes.

"Overall, markets revenue as we see it today will be flat year on year," Co-president Daniel Pinto said Tuesday during a conference in New York. "The core activities will be up let's say mid single digits. Then we have a series of one-offs that overall take that back down to flat."

J.P. Morgan shares fell 1.7 percent Tuesday amid a broad sell-off for bank stocks.

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Pinto cited "good performance" in rates, commodities and the corporate credit business. "Equities overall we are doing fine," he added.

The charges include a $100 million quarterly hit related to a tax-oriented investment business within the fixed income division, Pinto said.

The bank produced about $4.9 billion in trading revenue in the second quarter of 2017.