Bank trading revenue in the fourth quarter of 2022 was up from the same quarter of the previous year by nearly 34% to $9.6 billion, even though the revenue was down from the previous 2022 quarter, the national bank regulator said Friday.
In a release, the Office of the Comptroller of the Currency (OCC), noting that only four banks hold 88.2% of the total bank trading revenue, said the trading revenue for the fourth quarter was $3.1 billion, 24.5% less than the previous quarter. However, that amount was $2.4 billion more than in the fourth quarter of 2021.
The OCC also reported:
- Credit exposure from derivatives decreased in the fourth quarter of 2022 compared with the third quarter of 2022. Net current credit exposure (NCCE) decreased $111.0 billion, or 28.4%, to $279.0 billion.
- Derivative notional amounts decreased in the fourth quarter of 2022 by $4.1 trillion, or 2.1%, to $191.0 trillion.
- Derivative contracts remained concentrated in interest rate products, which totaled $139.8 trillion or 73.2% of total derivative notional amounts.
- A total of 1,139 insured U.S. national and state commercial banks and savings associations held derivatives.