JPMorgan’s Profit Soars on Strong Deal Activity
JPMorgan Chase reported a sharp rise in third-quarter profits to $14.39 billion, driven by strong investment banking and trading gains. CEO Jamie Dimon credited a resilient U.S. economy but warned of global and inflationary risks ahead.
JPMorgan’s Profit Soars on Strong Deal Activity
NEW YORK, Oct 14 — JPMorgan Chase (JPM.N) disclosed a significant rise in third-quarter earnings, fueled by a boost in investment banking performance and robust trading results.
The biggest bank in the U.S. reported that its profit increased to $14.39 billion, or $5.07 per share, for the quarter ending on September 30, rising from $12.9 billion, or $4.37 per share, the previous year.
CEO Jamie Dimon stated that the U.S. economy has stayed generally strong even with indications of a slowdown in job growth. He warned that global tensions, trade problems, elevated asset prices, and ongoing inflation still present significant risks.
Corporate dealmaking has surged this year following a short decline in April, bolstered by economic resilience and anticipations of reduced interest rates, which have propelled stock market records. Investment banking charges grew 16% in the third quarter, with trading income rising as well during persistent market instability.
Confidence in investment banking has risen across Wall Street, with dealmakers predicting an even better environment in 2026 as the Federal Reserve keeps lowering interest rates. As reported by Dealogic, JPMorgan has generated the highest investment banking fees among the leading U.S. banks up to this point in the year.
Earlier this week, the bank announced intentions to recruit additional bankers and allocate $10 billion to U.S. companies vital to national security and economic stability, as a segment of a larger $1.5 trillion pledge.
Industry executives observed that consumers continue to be financially sound, bolstered by robust employment and wage increases, which have maintained loan demand and repayment levels.
At JPMorgan, net interest income (NII) increased by 2% to reach $24.1 billion in the third quarter.
As a government shutdown postpones essential economic data, investors are paying careful attention to Dimon’s remarks for understanding the larger economic perspective.
(Reuters)
(Reuters)
