Financial Services Roundup: Market Talk

The latest Market Talks covering Financial Services. Exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.

1622 ET – Robinhood Markets reports 44% growth in transaction-based revenues, no thanks to cryptocurrency. Within the segment, revenue from cryptocurrency trades fell 38% to $100 million. Total crypto notional trading volumes were $40 billion, including a 35% drop in Robinhood App Notional Volumes to $18 billion. The drop in crypto activity was eclipsed by record highs in equity, option, and event contract volumes. ([email protected])

1620 ET – Robinhood Markets’ prediction markets business continues to pick up steam almost two years after its launch. The company reports a more-than-tenfold increase in event contracts revenue to $156 million, helping drive 44% total growth in transaction-based revenues. The number of event contracts traded also rose more than tenfold to 13.6 billion, the company says. Truist analysts wrote last month that they expected the business to benefit from a World Cup tailwind this summer. ([email protected])

1312 ET – SoFi Technologies decided to raise revenue forecasts but not earnings guidance for 2H because of the potential for Fed rate hikes in the months ahead, CEO Anthony Noto tells CNBC. The company’s stock is getting dinged despite SoFi beating top and bottom line figures in 2Q. Noto says it wouldn’t have been prudent to raise the EPS targets without a better view on where rates will go, after having entered the year with expectations that rates would go down. “I just think higher rates create some uncertainty generally,” Noto says, adding, “we just wanted to leave some cushion.” SoFi also didn’t want to undercut its flow of reinvestment in growth opportunities, including its stablecoin, for a guidance boost, Noto says. SoFi falls 8%. ([email protected])