JPMorgan Chase & Co’s income for three months without any difficulties surpassed Wall Street’s predictions on Thursday, however a fall in bond trading marred revenue from loan rise and bigger interest rates.
Trading on the financial market was a weak point for the company with bond trading income slumping 27% year-on-year, being driven in the preceding period by more active market because of Brexit and the election in the United States. Income from equity markets also slipped 4%.
JPMorgan shares, which kicked off profit for the US banks, lost 0.66%, moving down to $96.20 in premarket dealings.
The results were good though not extraordinary, said Jim Sinegal of Morningstar.
In September some of large American banks had forecasted that revenue from trading stocks and bonds would suffer in July-September period. JPMorgan’s all-markets profit plummeted by 21%.
CEO Jamie Dimon said last month the anticipated figure was around 20% plunge for the three months. Notably the bank’s mean loan rise and bigger net interest profit during the third quarter allowed to buffer the impact.
The world economy keeps its upward movement and the US customers are in steady financial state enjoying firm wage rise, Dimon pointed out.