U.S. Banks Post Flat To Lower 1991 Forex Gains Peak Second Half Cited, Morgan -28 Percent

BANKS

The second half of 1991 proved more troublesome and less profitable for many U.S. banks, dimming foreign exchange trading revenues for the year, early releases suggest. J.P. Morgan & Co., despite an impressive performance overall, reported that forex trading gains fell 28 percent in 1991.

Officials attribute the more modest gains to less favorable market conditions, less speculative foreign exchange trading activity in Japan, less liquidity and worldwide and the growing success of derivative