JPMorgan profit surges on huge trading, investment banking boost

[NEW YORK] JPMorgan reported substantially higher first-quarter earnings on Wednesday, as the largest US bank released more reserves and was aided by a blowout quarter from its trading desks and soaring investment banking fees.

JPMorgan, widely seen as a barometer of the health of the broader US economy, was also helped by favourable comparisons to last year when the Covid-19 pandemic forced the bank to build reserves against the risk of a wave of loan defaults.

Net income rose to US$14.3 billion, or US$4.50 per share, in the quarter ended March 31, from US$2.9 billion, or 78 cents per share, a year earlier.

Analysts on average had expected earnings of US$3.10 per share, according to Refinitiv.

REUTERS