Wall Street trades on AI-mania duration convert

Morgan Stanley said on July 15 that it generated more than $21 billion in revenue during the second quarter thanks to strong deal activity and wild market swings that propelled the trading business. The investment bank also reached its target of $10 trillion in assets in wealth management.

Earnings per share for the three-month period were $3.46.

Rival Goldman Sachs on July 14 reported more than $20 billion in revenue in the quarter and earnings per share of $20.98. Its global banking and markets division delivered $7.4 billion in equity trading revenue, a 72% rise from the previous year.

Deal advisory and stock underwriting helped power the results, led by SpaceX's SPCX.O $75 billion initial public offering. The two investment banking giants rank one and two in worldwide M&A this year, with Goldman's consiglieri advising on more than $1 trillion of M&A transactions, according to LSEG data. Ebullient markets, which also have been swinging wildly, prompted clients to scramble for derivatives and financing.