Citigroup Surpasses Profit Expectations Amid Volatile Markets

Citigroup exceeded Wall Street's profit expectations for the first quarter, driven by strong trading performance amid market volatility. Despite this growth, concerns arose over U.S. tariffs affecting the economic outlook. The bank's net income surged by 21%, while its markets and wealth management divisions also showed significant improvement.

In a robust performance for the first quarter, Citigroup surpassed Wall Street's profit expectations, drawing strength from its traders riding waves of market volatility. The bank's positive results paralleled Wall Street titans like JPMorgan Chase and Bank of America, despite looming concerns over U.S. tariffs clouding future economic forecasts.

CEO Jane Fraser noted the economic challenges posed by ongoing trade tensions but remained optimistic, stating, "When all is said and done, the U.S. will continue to lead the global economy, with the dollar as a reserve currency." This comes as Citi reported a 21% increase in net income to $4.1 billion, marking a substantial uplift in client activity.

Citigroup's markets revenue soared, with an impressive 23% jump in equity revenue and an 8% rise in fixed income revenue, underscoring strong performance in rates and currencies. However, executives like CFO Mark Mason warned about tariffs possibly constraining economic growth, reflecting mixed signals for the financial sector.

(With inputs from agencies.)