What caused CIB's earnings to miss forecasts in 2023?

CIB's earnings missed forecasts in 2023 due to a combination of factors:

1. **Muted Trading Activity and High Costs**: These factors were particularly evident in Citigroup's (C) Q3 2023 earnings, where muted trading activity and high costs significantly impacted the company's performance. The performance was described as subdued, with follow-up equity issuances being soft, and bond issuance volume, though improved from the prior-year quarter, still indicating a subdued market activity.
2. **Interest Rate Environment**: The impact of the interest rate environment on CIB's earnings cannot be overlooked. The bank, like many others, has been affected by the Federal Reserve's policy of raising interest rates. This has led to higher funding costs and reduced borrowing demand, particularly in the investment bank business. As a result, the net interest margin has been under pressure, and the cost of funds has increased, impacting the bottom line.

In summary, CIB's missed earnings can be attributed to a combination of muted trading activity, high costs, and the interest rate environment.