Citigroup CFO Expects 5 Percent Decline In Third-Quarter Markets Revenue

Citigroup Inc (C.N) expects its third-quarter markets revenue to fall by about 5 percent from a year earlier, Chief Financial Officer John Gerspach said on Wednesday.

The decline largely stems from a strong comparable performance in September 2014 in its interest rates and currency business, Gerspach said at an investor conference.

Citigroup traders navigated the market volatility of the last half of August well and had “strong client activity across the franchise,” he said.

The volatility, however, had a greater impact on underwriting, Gerspach said without quantifying the possible hit.

Gerspach also said the bank would probably record higher costs in the third quarter to provide for possible future losses on energy loans.

REUTERS