SocGen Signals It Missed Trading Rally as Momentum Slowed
- Dividend cancellations continued to hit equities unit in April
- Fixed-income saw ‘lower volumes in a still solid market’
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Societe Generale SA signaled it may have missed out on the trading boom that buoyed rivals in the second quarter and said it’s taking longer than expected for market conditions to return to normal as global lenders wrestle with the impact of the coronavirus.
Dividend cancellations that prompted heavy losses at the bank’s equities business in March continued to have an impact in April, before May brought a recovery “with intense hedges rebalancing,” SocGen said Tuesday in a presentation on its website. Fixed-income trading saw “lower volumes in a still solid market” in April and May.