Results were especially buoyant in JPMorgan's markets division during a heady period for the US stock market.
Image: AP Photo/Seth Wenig
JPMorgan Chase reported an increase in profits Tuesday, led by jumps in investment banking fees and trading revenues, along with exceptional items such as higher equity investments.
The bank, kicking off a heavy day of results from giant US lenders, reported second-quarter profits of $21,2 billion, up 41 percent from the year-ago level. Revenues rose 28 percent to $57,3bn.
Results were especially buoyant in JPMorgan's markets division during a heady period for the US stock market.
In the second quarter, the Nasdaq piled on 21,4 percent in the best three-month stretch in six years, the result of a booming performance for artificial intelligence-related stocks.
Chief Executive Jamie Dimon described the dynamics as "a particularly favorable environment with an elevated level of market activity."
For investment banking, "market sentiment remains constructive for continued activity," he added.
The bank's results were also lifted by a $4,6bn gain in Visa shares.
Dimon cited AI investments and "more efficient regulation" as among the factors propelling the US economy, which he described as solid but facing risks.
"The US economy has demonstrated notable resiliency this year, with stronger business investment and hiring," Dimon said.
"However, several risks are shifting below the surface like tectonic plates, including geopolitical tensions and wars, sticky inflation, large global fiscal deficits and elevated asset prices."
These risks "may remain manageable, but they could also cause meaningful disruptions when they shift or collide," Dimon added.
Shares of JPMorgan fell 2,6 percent in pre-market trading.
AFP