Deutsche Bank Expects 20% Drop in Trading Revenue.

Deutsche Bank expects trading revenue to decline by as much as 20% this quarter, with fixed income trading dropping 15% to 20% compared to last year. The bank joins Wall Street firms in flagging weaker debt trading, as interest rates near their peak and the economy is likely to enter a recession. However, higher interest rates have fueled income at the bank's corporate and private banking units. Deutsche Bank's CFO said the shifting revenue mix from the investment bank to the retail and commercial lending units is positive because it shows that the more stable businesses become more important.