NEW YORK - Wall Street's bosses are finally seeing signs of a broader pickup in investment banking, but they are not cheering too loudly just yet.
At Bank of America, fees from investment banking surged 35% to $1.6 billion, but its stock fell more than 4% as it set aside more money to cover souring loans. The results echoed strong performances at Goldman Sachs, JPMorgan Chase and Citigroup. While executives cited the return of some activity, they were also quick to point out risks, including interest rate uncertainty, escalating geopolitical conflicts and the U.S. election.
Citi's investment banking fees climbed 35% in the first quarter, lifted by debt and equity capital markets. Yet mergers and acquisitions were still slow to emerge, Fraser said. At JPMorgan, Chief Financial Officer Jeremy Barnum also struck a cautious note even as investment banking revenue climbed 27% to $2.0 billion.