Merrill net rises on trading gains

NEW YORK: Merrill Lynch, the third-biggest US securities firm, said profit rose 31% as stock-market gains and low financing costs lifted trading revenue, investment-banking fees and brokerage commissions.

Net income in the second quarter jumped to $2.14 billion, or $2.24 a share, from $1.63 billion, or $1.63, a year earlier, New York-based Merrill said in a statement.

Merrill weathered the deepening crisis in mortgage-backed securities and the near-collapse of two Bear Stearns hedge funds by dedicating more capital to trading.