JPMorgan's profits fall 2% despite strong Wall Street performance
Published On Oct 11, 2024, 7:24 AM
JPMorgan Chase's profits dipped by 2% in Q3, attributed to setting aside a higher reserve for potential loan losses, totaling $3.1 billion—up 125% from last year. This indicates the bank's anticipation of deteriorating credit conditions. However, its investment banking sector exceeded expectations with a 29% revenue increase, reaching $2.4 billion, and total revenues rose. The bank also raised its forecast for net interest income by $500 million, reflecting strong business fundamentals. CEO Jamie Dimon shared concerns about geopolitical risks and sustained economic resilience amid inflation slowdowns and fiscal challenges.
Stock Forecasts
JPM
Positive
Despite the profit decline, the significant growth in investment banking and increased net interest income expectation may offer positives for the stock.
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