66.92 -0.49 (-0.73%)
Pre-market: 4:42AM EST
|Bid||0.00 x 1000|
|Ask||0.00 x 2200|
|Day's range||66.89 - 69.38|
|52-week range||32.00 - 69.43|
|Beta (5Y monthly)||1.91|
|PE ratio (TTM)||13.83|
|Earnings date||15 Apr 2021|
|Forward dividend & yield||2.04 (3.03%)|
|Ex-dividend date||29 Jan 2021|
|1y target est||78.83|
(Bloomberg) -- Citigroup Inc. said trading revenue is likely to fall in the first quarter as the firm’s traders struggle to top last year’s outsize performance.Revenue from trading stocks and fixed-income products will drop by a percentage in the mid-single digits from a year ago, when the coronavirus pandemic sparked volatility in markets, according to Chief Financial Officer Mark Mason. Investment-banking revenue, on the other hand, has been helped by the firm’s business of underwriting initial public offerings and will probably climb by a percentage in the high teens or low 20s, he said.“I think we’re off to a very good start to the year,” Mason said Thursday at a virtual investor conference. “The quarter’s not over.”Citigroup and its Wall Street rivals have begun to warn that trading revenue is starting to moderate amid less market volatility in recent months. JPMorgan Chase & Co. CFO Jennifer Piepszak said at the same conference earlier Thursday that her bank has generated more trading revenue this year than in the same period of 2020, but didn’t want to make predictions for the first quarter because “we’re heading into a much more challenging” comparison to year-earlier figures for March.Shares of Citigroup briefly traded lower after Mason warned that costs would tick up by a percentage in the mid-single-digit range this quarter as it invests in improving risk-management technology. That’s part of the work the company is doing to resolve a pair of consent orders from the Office of the Comptroller of the Currency and the Federal Reserve that Citigroup received last year.Mason said Citigroup is continuing to take a clinical look at each of its businesses as it seeks to simplify. As part of that work, the firm recently decided to combine its private-bank and wealth-management operations, and is considering divesting certain consumer units in Asia.“Part of the strategic refresh is to look not just at wealth, not just at Asia, but look across the business,” Mason said. “More to come as we continue to make progress on the work there.”Citigroup shares slipped 1% to $67.95 at 2:40 p.m. after earlier dropping as much as 2.5%. The stock has climbed 10% this year, compared with the 12% advance of the 65-company S&P 500 Financials Index.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
As I saw my savings account's interest rate plummet last year, I thought the same thing that many others probably did: How can I make more money from my savings? If you're unfamiliar with bank account bonuses, they're easy enough to understand. Banks will frequently offer cash bonuses when you open a bank account and fulfill certain bonus conditions.
(Bloomberg) -- For about four hours Wednesday, Federal Reserve systems that execute millions of financial transactions a day -- everything from payroll to tax refunds to interbank transfers -- were disrupted by what appeared to be some sort of internal glitch.Systems were restored by the end of the day, but the outages once again raise questions about the resilience of critical infrastructure that Americans rely on to process payments. The episode follows two significant disruptions to the Fed’s payment services that occurred in 2019.“It does raise awareness about what their business continuity measures are and what’s going on over a single point of failure that doesn’t have a lot of redundancies. It’s pretty concerning,” said David Hart, president of consulting firm NETBankAudit who was previously a senior bank examiner and IT auditor at the Richmond Fed.All services were restored by 7:27 p.m. New York time, according to a website operated by the central bank. The outages affected the automated clearinghouse system known as FedACH and the Fedwire Funds interbank transfer service as well as several other systems comprising the U.S. payment infrastructure.‘Operational Error’“A Federal Reserve operational error resulted in disruption of service in several business lines,” Jim Strader, a spokesman for the Richmond Fed, said in an e-mailed statement. “We are restoring services and are communicating with all Federal Reserve Financial Services customers about the status of operations.”The Fed system’s national IT operations are run out of the Richmond reserve bank. The central bank’s payment services website noted the disruptions were discovered around 11:15 a.m. and Strader declined to comment on whether they were a result of system updates or human error, but confirmed that the system maintains operations in other locations.Inside financial firms, traders were generally calm, still handling transactions. A mood of initial confusion subsided as many realized they weren’t affected, one said.ACH is a national system that processes batches of electronic funds transfers such as payroll, social security benefits, tax refunds, corporate payments to vendors and utility payments, according to the Fed’s website. The commercial service handled 62.1 million transactions a day on average in 2019 with an average value of $1,802, the latest year for which data are available.In a posting on its website at 2:46 p.m. the Fed said it was taking steps to ensure the resilience of its services but urged customers to double check that any messages they had sent or received had been reconciled.FedNowThe disruptions come as the central bank is preparing to take on even more responsibility. It’s separately developing its own same-day settlement payment system called FedNow. It is expected to operate in direct competition with an industry-run payments system started in 2017 by an organization of Wall Street banks, including JPMorgan Chase & Co. and Citigroup Inc.The Fed’s system has suffered problems before. In 2019, the FedWire interbank funds transfer service went down for about three hours. The Fed blamed the outage on “an internal technical issue,” but declined to provide more details.Bloomberg News sought additional information about that incident under the Freedom of Information Act, but the request and a subsequent appeal were denied by the Board of Governors.(Updates with additional details in fourth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.