LAST UPDATE 14:12
JP Morgan Chase & Co announced a drop in quarterly earnings as weaker trading performance overshadowed the boom in investment banking.
The results, however, were better than expected.
According to Reuters, the largest US bank based on assets, announced earnings of 10.4 billion dollars or 3.33 dollars per share in the quarter ended December 31, compared to 12.1 billion dollars or 3.79 dollars per share a year ago.
Analysts were expecting an average earnings of $ 3.01 per share.
The low performance in trading was mitigated by another strong quarter for its investment bank, as mergers and acquisitions broke the all-time record in 2021 worldwide.
The Wall Street banking sector remained strong for most of the year, as large financial sponsors and businesses exploded deals, helping to raise investment banking commissions to their highest level.
The big US banks have benefited from higher consumer spending, while their trading arms have benefited from high market volatility last year.
However, rising inflation and a possible slowdown in the economy by Omicron are expected to hamper earnings growth in the coming months.
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Source From: Capital
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