Bank earnings reveal capital markets' 'resurgence': Analyst

Morgan Stanley (MS) and Bank of America (BAC) have reported their first quarter earnings, beating expectations on the top and bottom lines. Bank of America posted revenue of $25.82 billion, surpassing estimates of $25.61 billion, alongside an adjusted EPS of $0.83, beating the $0.77 estimate. Similarly, Morgan Stanley reported revenue of $15.14 billion, outperforming the $14.46 billion estimate, with adjusted EPS of $2.02, exceeding the $1.66 estimate. To provide insights on these results, Argus Research Director of Financial Services Research Stephen Biggar joins Yahoo Finance. According to Biggar, the overarching theme is "a resurgence in capital markets" — a "durable upturn in investment banking." Biggar notes that the banks' capital markets-related businesses, such as wealth management, investment banking, and trading, are "doing much better." However, he acknowledges that the lending business and net interest income have "faced some struggles." For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance. This post was written by Angel Smith

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Big banks led by Citi continue layoffs amid pressure to cut costs

U.S. banking giants continued to shed employees in the first quarter, with Citigroup seeing the biggest drop. Headcount at Citi declined by 2,000 employees after the third-largest U.S. lender completed a sweeping reorganization aimed at improving profits and reducing management layers. Bank of America, Wells Fargo and PNC Financial together cut more than 2,000 jobs in the three months ended March 31 compared with the previous quarter.

Bank of America Losses on Bond Portfolio Hit $109 Billion in First Quarter as Rates Rose

Bank of America adjusted earnings topped expectations in the first quarter, but one part of the company’s financial results worsened: the big paper losses on a key portion of its enormous bond portfolio. Bank of America shares, however, were down 2.3% to $35.03 in early trading Tuesday. The bank said that its unrealized losses on a $587 billion portfolio of bonds that are classified as held to maturity for accounting purposes widened by $11 billion to $109 billion on March 31 from $98 billion at year-end 2023.

BofA’s mortgage production falls in Q1

The top-20 U.S. mortgage lender produced a volume of $3.4 billion in first mortgages from January to March, it reported on Tuesday.

Big Banks’ Upbeat Quarter Reflects Resilient Economy

Top U.S. banks, including Bank of America, JPMorgan and Goldman, posted better-than-expected earnings thanks to strong consumer spending and a flurry of Wall Street activity.

Bank of America Posts Strong Adjusted Profit and Net Interest Income, but the Stock Drops

Bank of America’s adjusted earnings in the first quarter were 83 cents a share, beating analysts’ estimates of 76 cents.

Bank of America Earnings Drop, Under Pressure From Higher Rates; Stock Falls

Bank of America reported a 18% drop in first-quarter profit, the latest big lender to feel the squeeze of higher interest rates. BofA's shares were recently down about 4%, outpacing a decline in an index of big bank shares. Here’s a rundown of the bank's results, out this morning: + BofA took a special charge of $700 million to pay the Federal Deposit Insurance Corp. over last year’s bank failures, on top of the $2.1 billion charge it booked last quarter.

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