Morgan Stanley has reported higher than expected second-quarter profits despite weak industry trends.
The New York bank said adjusted earnings were $1.4 billion, or 80 cents a share, compared with a loss of $138m, or $1.36 a share, a year earlier. Analysts had expected earnings of 46 cents a share.
Rival banks have reported weaker trading and investment banking results in the second quarter.
The quarter was an early test for Morgan Stanley's revamped trading desks, which were beefed up with hundreds of new staff during the past year.
Rival Goldman Sachs had reported big drops in sales and trading revenue, particularly in fixed income, citing weaker results in areas including corporate bonds, government debt, currencies, and related derivatives. But Morgan Stanley said it saw more customer business in those areas.
Meanwhile, the fourth-largest US bank, Wells Fargo, has reported lower second-quarter profit, but its losses on commercial and consumer loans declined from the first quarter. Its Q2 earnings were $3.06 billion, or 55 cents a share, compared with $3.17 billion, or 57 cents a share, a year earlier.
