Barclays profit up 23% as Trump tariff turmoil lifts trading
Pretax profit for the January-June period totalled 5.2 billion pounds ($6.94 billion), above analysts' average forecast of 4.96 billion pounds.
The bank also announced a share buyback of 1 billion pounds and a half year dividend of 3 pence per share, equating to 1.4 billion pounds of total capital distributions to shareholders, up 21% from the year before.
The earnings update from the Britain and U.S.-focused lender showed continued progress in its strategy to cut costs and prioritise spending on its domestic, retail and corporate focused unit above its investment bank.
"We remain on track to achieve the objectives of our three-year plan, delivering structurally higher and more stable returns for our investors," CEO C. S. Venkatakrishnan said in the statement.
The lender's investment bank nonetheless followed Wall Street peers in reporting a robust second quarter, as market turmoil led to increased trading activity in fixed income products and stocks in particular.
Second-quarter income in the investment bank was 3.3 billion pounds, better than the 3 billion pounds forecast by analysts, thanks to strong gains in those trading businesses that offset a decline in fees from advising on deals.
($1 = 0.7492 pounds)
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Reuters
25 minutes ago
- Reuters
Wells Fargo board to appoint CEO Scharf as chairman
July 31 (Reuters) - Major U.S. lender Wells Fargo (WFC.N), opens new tab said on Thursday its board of directors intends to appoint CEO Charlie Scharf as chairman.
Reuters
25 minutes ago
- Reuters
US Senate committee backs more Ukraine funding, following Trump shift on aid
WASHINGTON, July 31 (Reuters) - A powerful U.S. Senate committee approved a military spending bill on Thursday that includes about $1 billion to support Ukraine, despite President Donald Trump's administration having asked Congress to eliminate such funding in its budget request. The Republican-led Senate Appropriations Committee approved $852 billion for the Department of Defense in the fiscal year ending on Sept. 30, 2026, which is $21.7 billion, or 2.6%, more than the Republican president requested earlier this year. The committee voted 26-3 to send the spending measure for a vote in the full Senate, with strong support from both Democrats and Trump's fellow Republicans. "Not only the prior administration, but this administration as well, have underestimated the level of challenge that we have," said Senator Mitch McConnell of Kentucky, who chairs the panel's defense subcommittee. The bill includes $800 million for the Ukraine Security Assistance Initiative (USAI), and $225 million for the Baltic Security Initiative, much of which ends up supporting Ukraine in its war against Russia's invasion. "I would say support for Ukraine is a billion dollars," Senator Chris Coons of Delaware, the defense spending subcommittee's top Democrat, told reporters at a briefing ahead of the Appropriations Committee meeting. Trump's budget request, and the defense appropriations bill passed by the House of Representatives earlier this year, did not include any funding for the USAI, under which the U.S. provides funds for purchases of equipment for Ukraine. However, many Republicans in Congress, particularly in the Senate, backed support for Ukraine even before Russia launched its full-scale invasion in early 2022. Some have expressed frustration with Trump's administration for deciding repeatedly to halt shipments of weapons for Ukraine, and failing to brief members of Congress who authorized the shipments. Senate aides from both parties said they had asked the administration for an accounting of which weapons were being sent, now that shipments have resumed, but had not received the information. Separately, Republican Senator Lisa Murkowski of Alaska and Democrat Jeanne Shaheen of New Hampshire, both members of the Appropriations committee, said on Thursday they introduced a bill that would provide $54.6 billion in aid to Ukraine over the next two years. Despite being bipartisan, the Murkowski-Shaheen bill faces a stiff struggle to become law. Congress last passed a major aid package for Ukraine - $61 billion - in April 2024, when Democrat Joe Biden was still president and his fellow Democrats had a slim majority in the Senate. Trump's Republicans now control the Senate, House of Representatives and White House. Trump himself recently has grown more frustrated with Moscow's refusal to agree to a ceasefire. He has recently announced deadlines for Russia to show progress toward ending the war or face new sanctions - despite in the past speaking about having a good relationship with Putin. Asked for comment on the Appropriations bill, a White House official said, "We're reviewing the bill in the totality." Both McConnell and Coons stressed that the U.S. is learning from Ukraine while supporting its military. "Shutting off engagement with Ukraine would undermine our military's efforts to prepare for the modern battlefield," McConnell said during the committee meeting. The war in Ukraine has evolved into the most drone-intensive conflict ever, and the use of drone technology has helped Ukraine to deal with Russia's advantages in troop numbers, artillery and tanks. To become law, the appropriations bill must pass the full Senate and then be reconciled with the House of Representatives bill, which adhered to the Trump administration's $831.5 billion Pentagon spending request and did not include Ukraine aid. After that, it would be sent to the White House for Trump to sign into law or veto.
Reuters
25 minutes ago
- Reuters
35% tariff on Canada still in the cards, Lutnick says
WASHINGTON, July 31 (Reuters) - U.S. Commerce Secretary Howard Lutnick said on Thursday that a 35% tariff on all Canadian goods not covered by the U.S.-Mexico-Canada trade agreement is still "surely in the cards," ahead of an Aug. 1 deadline imposed by President Donald Trump. Lutnick said in an interview on Fox Business Network's "Kudlow" that Canadian Prime Minister Mark Carney could still convince Trump to back down. "If he makes that call, and if he starts turning on the charm, and if he takes off his retaliation ... and stops the silliness, maybe the president will let it down a bit," Lutnick said. "But right now, 35%, that letter he sent, is surely in the cards." Trump sent a letter to Carney in July saying the U.S. would impose a 35% tariff on Canadian goods as of Aug. 1. The two sides have been working on negotiating a trade deal by that deadline, but Trump said last week they may not be able to reach a negotiated deal, suggesting the unilateral tariff rate could be imposed. Earlier this week, Carney said talks were at an intense phase, while reiterating that a deal that would remove all U.S. tariffs was unlikely.
