- Several large American banks smashed expectations in their quarterly earnings reports Friday, as the biggest names in the sector keep posting massive profits while smaller peers flail.
- JPMorgan Chase, Citigroup and Wells Fargo each posted higher than expected revenue and profit figures during the second quarter, a stretch including fallout from three of the four largest bank failures in U.S. history.
Why it matters
During early trading in New York, shares of JPMorgan rose by 1.8%, with year-to-date gains of 11%. In May, JPMorgan agreed to acquire First Republic after outperforming competitors in a government auction. The business results included a gain of $2.7 billion from the acquisition of First Republic, along with associated reserves of $1.2 billion. Overall, provisions for credit losses amounted to $2.9 billion.
