LONDON, Sept 5 (Reuters) - Commodities-related revenue at
the world's 12 biggest investment banks was 1% lower in the
first half of the year than in the same period in 2018 due to
weaker activity in power and gas, consultancy Coalition said on
Thursday.
Commodities revenue at the 12 banks rebounded last year from
its lowest in more than a decade in 2017. That rise came from
power, gas and base metals.
That revenue stream has been on a steady downward trajectory
since the global financial crisis as heightened government
regulation and poor performance made the top banks shrink their
commodities businesses, falling to $3.6 billion last year from
$15.9 billion in 2008, according to Coalition.
In the first six months of 2019, revenue from commodity
trading, selling derivatives to investors and other activities
in the sector was $2 billion, the financial industry analytics
firm said.
"Oil revenues increased significantly, however power and gas
declined due to fewer large structured deals," Coalition said.
The 12 banks Coalition tracks for its quarterly reports are
Bank of America Merrill Lynch, Barclays, BNP
Paribas, Citigroup, Credit Suisse,
Deutsche Bank, Goldman Sachs, HSBC,
JPMorgan, Morgan Stanley, Societe Generale
and UBS.
(Reporting by Eric Onstad; editing by John Stonestreet)