J.P. Morgan Chase & Co. said its third-quarter profit rose as a boost from lending offset weaker trading results for the nation's biggest bank by assets.
The bank reported a profit of $6.73 billion, or $1.76 a share. That compares with a profit of $6.29 billion, or $1.58 a share, in the same period of 2016. Analysts polled by Thomson Reuters had expected earnings of $1.65 a share.
Revenue rose to $26.2 billion. Analysts had expected $25.23 billion.
J.P. Morgan, run by Chief Executive James Dimon, is one of two banks, along with Citigroup Inc., kicking off third-quarter earnings season for U.S. financial institutions. The two large banks offer investors a snapshot of a quarter that analysts expect will be characterized by softer loan growth and trading headwinds. Also, with expected regulatory loosening not yet resulting in definitive changes, U.S. interest rates continue to be one of the biggest drivers for bank results later in 2017.
Since the election, J.P. Morgan's shares are up 38%, alongside a 34% jump in the KBW Nasdaq index of bank stocks.
Though bank stocks have been fairly flat in the months following the post-election surge, they came roaring back toward the end of the third quarter, in part due to investor optimism around a tax-code overhaul.
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(END) Dow Jones Newswires
October 12, 2017 07:12 ET (11:12 GMT)