(Bloomberg) — Bank of America Corp.’s traders didn’t seize on the markets boon that lifted rival banks in the third quarter.


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Revenue from trading rose 3.6% to $3.34 billion, falling short of the $3.5 billion that analysts had forecast. While JPMorgan Chase & Co. and Citigroup Inc. each posted jumps of at least 17% at their trading desks, Bank of America’s small increase wasn’t enough to boost overall revenue as the bank’s consumer unit saw a 17% slide.

Wall Street trading desks have benefited from active markets during the pandemic, and those results have propped up lending units that are grappling with broader economic hardship in the U.S. after the coronavirus pandemic shuttered businesses and put millions of Americans out of work.

Bank of America’s results were “underwhelming,” with only a small increase in fixed-income and equities trading, Vital Knowledge founder Adam Crisafulli wrote in a note to

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A persistent rise in market volatility on account of the coronavirus and concerns of its impact on the economy was seen during third-quarter 2020. With an increase in volatility and higher client activities, Bank of America’s BAC trading business is likely to have gotten a significant boost. Trading revenues, thus, are expected to be a major supporting factor for its upcoming results, slated to release on Oct 14, before market open.

During the quarter, the coronavirus pandemic and economic slowdown weighed on investor sentiments, while support from government’s stimulus package and the Federal Reserve’s efforts to support the economy were on the positive side. Thus, BofA’s equity and fixed income trading revenues are expected to have improved.

At an investor conference in mid-September, CEO Brian Moynihan provided third-quarter outlook for trading revenues. The bank expects the same to be up 5-10% year over year, driven by rise in both

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my_public_domain_photos / FlickrIf you had asked investors in the middle of March this year if they thought the U.S. stock indexes would reach all-time highs a mere six months later, they probably would have been thrilled just to get to even at that point. In fact, after a 35% sell-off in a month, many people likely were ready to get out of the stock market forever. Yet, with interest rates at generational record lows, the equity markets remained a positive alternative.

The question investors face now, just over three weeks from perhaps the most important election in over a century, is what to do now and for 2021. Given that the stock market is seemingly fully valued at current levels, with the exception of lagging sectors like energy, the best idea for next year could very well be a solid income and growth portfolio.

In a new BofA Securities

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  • Bank of America raised its McDonald’s price target to $250 per share from $225 per share, citing consumers who are “tired of their own cooking” and flocking to fast food drive-thrus. 
  • In a note on Monday a team of BofA analysts also raised their McDonald’s earnings estimates for next year.
  • The analysts added that the fast food giant’s partnership with Travis Scott demonstrated its ability to launch well thought-out, minimally complex strategies.

Bank of America reiterated its “buy” rating for McDonald’s and raised its price objective to $250 per share from $225 on Monday. BofA also raised its 2021E earnings-per-share estimate for McDonald’s up to $8.30 from $8.20 on “better sales expectations.” 

“The quick service segment as a whole has seen greater demand during COVID-19 than pre-pandemic as consumers [grew] tired of their own cooking and leaned into drive-thru and off-premise for engagement with restaurants,” a team of BofA analysts

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(RTTNews) – NextEra Energy, Inc. (NEE) announced Wednesday that it has agreed to sell $2.0 billion of equity units to BofA Securities and Barclays. The transaction is expected to close on September 18, 2020.

Each equity unit will be issued in a stated amount of $50. Each equity unit will consist of a contract to purchase NextEra Energy common stock in the future and a 5% undivided beneficial ownership interest in a NextEra Energy Capital Holdings, Inc. debenture due Sept. 1, 2025, to be issued in the principal amount of $1,000.

The debentures will be guaranteed by NextEra Energy Capital Holdings’ parent company, NextEra Energy, Inc. Total annual distributions on the equity units will be at the rate of 6.219%, consisting of interest on the debentures and payments under the stock purchase contracts.

Each stock purchase contract will require the holder to purchase NextEra Energy common stock for cash, based

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FILE PHOTO: The Citigroup Inc (Citi) logo is seen at the SIBOS banking and financial conference in Toronto, Ontario, Canada October 19, 2017. REUTERS/Chris Helgren

(Reuters) – Citigroup Inc C.N said on Friday it had hired a Bank of America Corp BAC.N executive to run compliance for its Institutional Clients Group (ICG).

Jennifer Taylor will start as chief compliance officer for the ICG in December and will be based in the UK, according to a memo signed by Chief Compliance Officer Mary McNiff and ICG Chief Executive Officer Paco Ybarra.

Taylor was most recently a regional head of compliance and operational risk at Bank of America and has also served as general counsel for different business lines across the Asia Pacific region.

“She has deep product knowledge across the institutional space and a proven track record in driving and embedding a compliance culture across a global franchise,” the memo said.

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  • A lack of near-term stimulus will likely drive economic contraction in August, Ethan Harris, global economist at Bank of America, said in a Friday note.
  • The Senate is on recess until September after making little headway on a new relief measure.
  • The lack of renewed aid, when combined with President Trump’s ineffective executive orders, “means growth is likely to turn negative this month and only rebound if and when a major stimulus package is enacted,” Harris said.
  • “It will take some combination of bad data, bad markets, and good politics” to force a compromise and enact much-needed stimulus, he added.
  • Visit Business Insider’s homepage for more stories.

The US economic recovery already began to weaken in July, and a lack of fresh stimulus could drive negative growth as soon as this month, Bank of America said Friday.

The Senate remains on recess after making little progress in negotiating a new

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