Citigroup beats profit estimates as rate hikes bolster lending business

  • 📰 Reuters
  • ⏱ Reading Time:
  • 35 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 17%
  • Publisher: 97%

South Africa News News

South Africa South Africa Latest News,South Africa South Africa Headlines

Citigroup Inc beat estimates for third-quarter profit on Friday as its lending business benefited from a series of interest rate hikes by the Federal Reserve and offset weakness in other divisions such as investment banking and trading.

The logo for Citibank is seen on the trading floor at the New York Stock Exchange in Manhattan, New York City, U.S., August 3, 2021. REUTERS/Andrew Kellybeat estimates for third-quarter profit on Friday as its lending business benefited from a series of interest rate hikes by the Federal Reserve and offset weakness in other divisions such as investment banking and trading.

"We're prepared for whatever the environment looks like and we're running scenarios constantly to ensure that we're ready to deal with that." Revenue from markets division, which houses fixed income and equity trading units, also fell 24% for the quarter. Citi, although not a big player in the leveraged finance market, took a writedown of $110 million in the third quarter, as rising interest rates made it tougher for it to offload high-risk debt onto investors and other lenders.The worsening economic picture also led the bank to add $370 million to its loan-loss reserves in the latest quarter, compared with a release of $1.16 billion a year earlier.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 2. in ZA

South Africa South Africa Latest News, South Africa South Africa Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Beyond Meat COO Douglas W. Ramsey is leaving the company after being suspended for allegedly biting a man's noseBeyond Meat Inc. undefined said Friday Chief Operating Officer Douglas W. Ramsey is leaving the company with immediate effect. The company made the... Before and After The joke practically writes itself
Source: MarketWatch - 🏆 3. / 97 Read more »