Morgan Stanley's dealmakers helped offset a decline in trading revenues as its fixed income unit slipped by 45% in the second quarter.

The bank followed Wall Street rivals with a sharp drop in trading revenues as the boom throughout the Covid-19 pandemic is fading. Fixed income revenues were down by 45% to $1.9bn during the quarter, while investment banking fees jumped by 16% to $2.4bn, largely as a result of M&A activity.