Finance

Revenue continues to fall for the industry's largest brokerages, but lending remains strong.

"I think the DoL rule has a disproportionate impact on the independent business, and that affected our decision-making," says Ron Kruszewski.

With core business down and adviser headcount shrinking, the brokerage nets a profit by selling non-essential divisions.

Lending and cost cutting helped drive net income higher during the recent quarter, the wirehouse reported.

The country's largest independent broker-dealer added 100 advisers in the second quarter.

“We get very nervous when the stock price index goes to high P/E, we ought to be somewhat nervous when the bond rate does the same,” the former Fed chairman says.

While Chairwoman Janet Yellen has repeatedly stated that the Fed is likely to raise interest rates gradually, market volatility and the unexpected dip in job gains have delayed such plans.

Net revenues fell 2% in the second quarter compared to a year ago, according to the firm.

Profits rose 8% year-over-year at the bank's Global Wealth & Investment Management unit, which includes Merrill Lynch and U.S. Trust.

The number of financial advisers at the firm declines 1% to 15,042.

While the value of broad diversification becomes evident over 15 to 20 years, its virtues will often be noticeable even over shorter time frames.

Inflation and unemployment haven't reached levels that would justify an increase in interest rates, even without risks from Britain's vote to leave the European Union, Federal Reserve Governor Daniel Tarullo said.

"Gold and silver have already come a long way, so perhaps it's not surprising to see them pull back a little," one analyst says.

Investors see a nearly 80% chance that rates will be unchanged at the next two meetings of the Federal Open Market Committee, according to prices of options on eurodollar futures contracts.

Debt crises, fiscal cliffs and market bubbles will always capture headlines, but are often short lived.

Britain's vote to leave the European Union will almost certainly have repercussions for the Federal Reserve -- and those could play out over days or months.

Fewer Federal Reserve officials expect the central bank to raise interest rates more than once this year, as policy makers gave a mixed picture of a U.S. economy where growth is picking up and job gains are slowing.

Here’s what to listen for when Fed Chairwoman Janet Yellen speaks later on Wednesday.

Which periods produce the best long-term returns for different asset classes?

The Federal Reserve chairwoman was mum about when there might be another hike, which for some suggests she's not in a hurry.