JPMorgan’s third-quarter profit surges
JPMorgan released it’s third quarter earnings and though it recorded a $3.59 billion profit, it doubled the amount of money for failed loans. This implies that the housing and mortgage crisis is not showing signs of stopping. Here’s the article….
But major bank also says that loan losses remain high, a warning sign
NEW YORK – JPMorgan Chase & Co. reported strong third-quarter earnings Wednesday as its thriving investment banking business more than offset rising loan losses that the bank warned would continue for the foreseeable future.
JPMorgan, the first of the big banks to report earnings for the July-September period, reported a $3.59 billion profit but also said it roughly doubled the amount of money it set aside for failed home and credit card loans in the quarter.
The bank’s earnings cheered investors, who sent JPMorgan stock and the overall market higher. Still, the bank’s performance shouldn’t be taken as a forecast for how well other banks did. Many financial companies don’t have such big investment banking operations, which includes trading of stocks and bonds and allowed JPMorgan to overcome its loan losses.
