JPMorgan Chase & Co reported a bigger-than-expected 24 per cent jump in third-quarter profit on Wednesday (Oct 13), boosted by a global dealmaking boom and strength in its wealth management arm. The bank, whose fortunes reflect the health of the US economy, said robust M&A activity offset a slowdown in trading. Its consumer bank also reported a strong quarter as credit-card spending ticked up and customers paid off loans at a slower pace, meaning the bank earned more interest income. JPMorgan also released US$2.1 billion from its credit reserves during the quarter. Banks were forced to set aside billions last year for possible loan defaults during the pandemic. But a consumer-friendly monetary policy and stimulus checks buoyed spending for the average American consumer and increased their savings, allowing banks to release some of their reserve capital. JPMorgan’s net income rose to US$11.7 billion, or US$3.74 per share, in the quarter ended Sept 30, compared with US$9.4 billion, or US$2.92 per share, a year earlier. Analysts on average had expected earnings of US$3.00 per share, according to Refinitiv.
JP Morgan – Results
