Citigroup sees Q3 earnings rise after accounting gain

CITIGROUP reported higher third-quarter earnings yesterday as the bank set aside less money to cover bad loans and recorded an accounting gain banks can take in turbulent markets.

Investment banking fees dropped as the European debt crisis cut into stock and bond issuance and merger activity. Operating expenses rose, in part because of investments the bank is making to boost its business.

Citigroup’s Irish operations employ 2,000 people.