April 17 (Reuters) - U.S. bank Truist Financial ( TFC )

posted a rise in first-quarter profit on Friday, thanks to solid

growth in investment banking fees and trading, while interest

income also increased.

Investment banking fees have climbed across the industry as

companies continue to pursue dealmaking plans, betting that

bouts of market volatility will be short-lived and unlikely to

derail strategic transactions.

Those choppy conditions in global markets, driven by an

artificial intelligence-led selloff in tech stocks and turmoil

in the Middle East, have lifted trading desks, which have seen a

surge in client activity as investors reposition portfolios and

hedge against new risks.

Truist reported a 36.3% rise in its investment banking and

trading income. Its non-interest income came in at $1.55

‌billion during the quarter, compared with $1.39 billion a year

earlier.

"We continued to build new client relationships, grow in

attractive markets and generate high-quality loan and deposit

growth that is translating into improved profitability," CEO

Bill Rogers said in a statement.

Meanwhile, a pickup in borrowing by both companies and

consumers is lifting loan demand across the industry, supporting

lending margins that remain a key driver of profits at U.S.

banks.

Truist, the ninth-largest U.S. bank by assets, reported a

2.5% rise in its net interest income to $3.64 billion during the

first quarter.

The bank's net income available to common shareholders stood

at $1.38 billion, or $1.09 per share, during the three months

ended March 31. That compares with $1.16 billion, or 87 cents

per share, a year earlier.

The results mirror trends at Wall Street heavyweights

JPMorgan Chase ( JPM ), Bank of America ( BAC ) and Citigroup ( C )

, which also reported higher first-quarter profits, driven

by gains in interest income, trading and investment banking

fees.