Goldman Sachs has hired two senior traders to lead its European government bond trading business, at a time when falling revenues have led to widespread job cuts in the fixed income market.

Andrea Casulli, previously a managing director and head of linear rates at UBS, and Garry Naughton, ex-Deutsche Bank European head of government bond trading, have joined as co-heads of its European government bond trading business, based in London, according to a person familiar with the situation.