The dearth of dealmaking at major banks is leading to layoffs, with Goldman Sachs❀ planning to cut hundreds of jobs this month.

JPMorgan has told analysts that deal fees for the nation’s 澳洲幸运5官方开奖结果体彩网:largest bank will shrink by 50% in the third quarter from a year ago, according❀ to president and COO ✅Daniel Pinto, speaking at a conference. He said that JPMorgan may be forced to cut costs by cutting jobs and reducing employee bonuses. 

Citigroup has also warned that trading revenue🎉 will d🌱rop as securitized product trading has dragged on revenues.

JPMorgan has said trading has been a bright spot. JPMorgan said that markets trading revenue 𒅌was headed for a 5%ꦚ increase from a year ago. Strong activity in fixed-income trading helped offset lower equities trading revenue.

JPMorgan (JPM) shares are down about 28% this year, while shares of Goldman Sachs (GS) are down about 17%. Citigroup (C) shares are down 22% so far this year.

Banks would normally benefit from rising interest rates because they raise their 澳洲幸运5官方开奖结果体彩网:net interest margins, but the lack of investment banking activity and trading is crimping their profit margins and forcing banks to cut costs. This dynam🍌ic should last for the rest of the year, at least," said Caleb Silver, Editor-in-Chief of Investopedia.