Reuters
Published Sep 29, 2022 04:36PM ET
Updated Sep 29, 2022 08:35PM ET
By Divya Rajagopal
TORONTO (Reuters) - Royal Bank of Canada (RBC) cut about 10 jobs in its U.S. investment banking division last week, a spokesperson for the bank said in an email on Thursday.
The cuts, which represent 1% of its U.S. investment banking division, were in line with "normal attrition" and the staff laid off are part of U.S. capital markets division, the spokesperson said.
RBC is Canada's biggest bank and its capital markets business reported a 58% drop in net income in the third quarter to C$479 million ($350 million), primarily because of the impact of loan underwriting markdowns of C$385 million in the United States.
RBC's U.S. business includes retail banking, capital markets, wealth management and treasury services and wealth management.
Bank of Montreal has also laid off staff in its U.S. capital markets division, a spokesperson for the bank said earlier this month, without giving details.
Rapid interest rate hikes by the U.S. Federal Reserve to tame runaway inflation have rattled global financial markets, curbing companies' appetite for deals and making them wary of stock and debt offerings.
In July, Goldman Sachs Group Inc (NYSE:GS) warned it may slow hiring and cut expenses as the economic outlook worsens.
($1 = 1.3697 Canadian dollars)
(The story corrects job cut number to 10 from 30)
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.