By Dean Seal

Bank of New York Mellon Chief Executive Robin Vince warned that tariff-related uncertainty will weigh on markets as global trading terms undergo an upheaval.

The swirl of tariffs that were either amplified or paused this week seem to be part of a broader strategy by the U.S. to reset global trade terms, Vince said. Markets will continue to see turmoil until the trade war settles, he said.

"It is our expectation that these negotiations are going to take some time and this uncertainty will likely have some length to it," Vince said on a call with reporters.

The 90-day pause for most reciprocal tariffs that President Trump announced this week offered a reprieve to recent market declines that has proven short-lived. While a more comprehensive reversal on the U.S. tariff campaign would turn around investor sentiment quickly, the 90-day pause creates "a lot of time for people to lose their mojo in the economy," Vince said.

The comments came after the bank reported a jump in earnings for the first three months of the year due to higher fee revenue and interest income.

The bank posted a first-quarter profit of $1.15 billion, or $1.58 a share, compared with $953 million, or $1.25 a share, in the same period a year earlier.

Earnings were $1.58 on an adjusted basis as well. Analysts polled by FactSet had been expecting $1.50 a share.

Revenue rose 6% to $4.79 billion, beating analyst projections for $4.76 billion.

Fee revenue was up 3% at $3.4 billion, boosted by net new business and higher market values. Quarterly net interest revenue was up 11% at $1.16 billion as maturing investment securities were reinvested at higher yields, which offset unfavorable changes in deposit mix.

Assets under management were flat year-over-year as higher market values offset cumulative net outflows for the quarter.

BNY is among the first banks to report earnings this season. JPMorgan Chase issued results on Friday morning as well.

Write to Dean Seal at dean.seal@wsj.com

(END) Dow Jones Newswires

April 11, 2025 08:38 ET (12:38 GMT)

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