UPDATE 1-Q3 market slump knocks broker Tullet Prebon's revenue
* Q3 revenue 252 million pounds vs 276 million a year ago
* Hit by low trading activity as traders wait for Fed
* Shares drop 4 percent
By Clare Hutchison
LONDON, Nov 8 (Reuters) - Interdealer broker Tullett Prebon posted a 9 percent drop in third-quarter revenue on Friday, hit by a slump in business while traders waited to see whether the U.S. central bank would withdraw monetary stimulus measures.
Tullett, which like rival ICAP makes money by matching buyers and sellers of bonds, currencies and swaps, reported revenue for the four months from July to October of 252 million pounds ($404.35 million) compared to 276 million pounds a year earlier.
Revenue was lower across Tullett's three major divisions - foreign exchange, treasuries and interest rate derivatives. Nine-month revenue was 692 million pounds, 5 percent lower than the 731 million pounds earned in the same period in 2012.
Tullett's performance echoes that of a number of investment banks, which saw trading revenues battered in the third quarter, particularly in fixed income and currencies, following the Federal Reserve's surprise decision not to start withdrawing its monetary stimulus.
Analysts said it was hard to see good news in the short term. Continued...