JPMorgan profit beats estimates on Wall Street rebound; raises interest income forecast
Written by Nikit Nisant and Nubur Anand
(Reuters) -JPMorgan Chase raised the expenses of net interest revenues for 2025 after strong results in banking services and investment trading helped to overcome profit expectations for the second quarter.
“The American economy has been flexible,” said CEO Jimmy Damon. “The finishing touches on tax reform and the potential implicit cancellation are positive for economic expectations.”
However, he expressed caution of “great risks” of definitions and uncertainty in trade, exacerbating geopolitical conditions, high financial deficit, and high asset prices.
Dimon, 69, who runs the largest American lender for more than 19 years, is one of the most prominent voices in Wall Street. Unlike the bank’s executives who have provided pink assessments of the economy, Damon was more cautious and cautious.
The bank now expects about $ 95.5 billion from NII, or the difference between what it earns on loans and pays deposits, compared to a previous estimate of about 94.5 billion dollars.
The market activity increased when investors took advantage of opportunities and surrounded the risks in response to the US tariff policies. The disorders of JPMorgan trading revenue prompted 15 % to 8.9 billion dollars, driven by gains in both fixed income and shares.
Investment banking fees increased by 7 % to $ 2.5 billion, with support from an increase in integration, acquisitions and subscription operations.
Both trading and investment banking services were better than the previous directives of the management. The financial director, Jeremy Barnum, said that while the concerns remain, the pipeline for the initial public offers was captured.
Brian Molbberry, the manager of the client’s wallet at Zacks Investment Management, said, adding that Nii’s expectations were “impressive flexible”, that the capitalist budget with a capitalist helped increase JPMorgan revenue in increasing multiple sectors.
Consumer
Despite concerns about the pressure on tariffs on families, JPMorgan noticed continuous signs of consumer elasticity.
“The consumer appears to be fine,” said Barnum. “You see more tension in low income ranges. But this is always true. There is nothing unexpected for our expectations.”
The bank has allocated $ 2.85 billion in providing credit losses, compared to $ 3.05 billion in the previous year.
With the exception of one time costs, the lender got $ 4.96 per share, compared to $ 4.48 per share expected by analysts, according to estimates that LSEG collected.
The shares decreased 0.6 %.
Political clouds expectations
Investors examine the results of banks closely and the comments of CEOs in this quarter to assess the impact of definitions, tax and spending bill signed by president Donald Trump this month.
2025-07-15 10:35:00
