LONDON, July 10 British broker ICAP
reported a slight rise in revenues in its first quarter, after
trading of bonds and futures jumped on the prospect of a
slowdown in U.S. money printing.
However, the low interest rate environment constrained
demand for ICAP's risk mitigation services, while trading in
commodities also fell because of a pullback by investment banks
in the area, offsetting rises in fixed income trading, the firm
said in a statement covering the period April 1 to July 10.
ICAP said its businesses group revenue rose 2 percent versus
a year earlier. The company did not give an exact figure for
The broker-dealer, which competes with rival Tullett Prebon
to match buyers and sellers of bonds, currencies and
swaps, has benefited from a jump in volatility and trading
volumes in recent months.
"We have made an encouraging start to our financial year.
Trading activity in most markets appears to have stabilised and
there has been a welcome increase in volatility in some asset
classes, which has generated additional trading volumes," Chief
Executive Michael Spencer said in the statement.
The results follow a tough 2012 for ICAP, described by
Spencer as an "extraordinarily tough year" after profits fell 20
"It remains far too early to say that we are seeing a
sustained upturn, but current conditions give us confidence that
we can deliver on expectations for the year," Spencer added.