BofA said its sales and trading revenue was expected to fall from both the third quarter and a year earlier, slides shown at the conference and available on the bank's website showed.
No numbers for the quarter were provided in the BofA slides, which were prepared for presentation at the Goldman Sachs U.S. Financial Services Conference on Tuesday.
Citigroup's market revenue will fall about 5 percent, Chief Executive Mike Corbat said at the conference.
Fixed-income trading has been on a declining trend since 2009, largely due to new rules that discourage banks from taking unnecessary risks.
Several big banks have already scaled back their trading operations or quit the business altogether, and there are doubts about whether the industry will ever truly rebound.
Still, most big U.S. banks reported better-than-expected trading revenue in the third quarter when upbeat U.S. economic data, stimulus steps in Europe, and the shock exit of trading superstar Bill Gross from bond trading giant Pimco gave the market a shot in the arm.
Bank of America's shares were down 1.9 percent at $17.32 in late morning trading on the New York Stock Exchange. Citigroup's shares were down 2.4 percent at $54.99.
Reporting by Tanya Agrawal in Bengaluru; Editing by Kirti Pandey and Ted Kerr