Commercial banks reported total trading revenue of $6 billion in the final quarter of 2016, down 6.8% from the third quarter but up 40% from the fourth quarter of 2015, according to the OCC’s Quarterly Report on Bank Trading and Derivatives Activities. The quarter-on-quarter decline reflects a persistent seasonal trend.
The net current credit exposure dropped by $79.6 billion, or 16.5%, in the fourth quarter, the report said. The notional amount of derivatives banks held fell by 6.9% to $165.2 trillion.
Read the report.