JP Morgan earnings crush analysts' estimates as bond trading revenue surges by nearly 90%

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Here are the key takeaways so far as banks report their Q4 earnings.

posted profit and revenue that smashed through analysts' expectations on a strong rebound in trading revenue at the end of 2019.

Profit in the investment bank surged 48% to $2.9 billion, mainly on trading and sales. Bond trading revenue surged 86% to $3.4 billion, exceeding the $2.61 billion estimate by roughly $800 million, as fixed-income desks were humming, particularly in securitized products and rates. Stock traders posted a 15% increase in revenue to $1.5 billion, compared with the $1.35 billion estimate.

CFO Jennifer Piepszak said last month that trading revenue was "meaningfully" higher in the fourth quarter versus a year earlier. The rebound comes from the industry's' fixed-income trading operations, projected to rise 25% on average, versus a 3% bump in stock trading revenue, KBW analyst Brian Kleinhanzl wrote last month.

The firm's commercial bank posted a 9% drop in profit to $938 million as lower net interest income compressed margins and the bank boosted its provision for credit losses. Asset and wealth management posted a 30% increase in profit to $785 million as rising asset levels boosted results.

 

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Banks get 1 trillion dollar bailout, buy up all the distressed homes they created, create the worst housing shortage and homeless problems we’ve ever seen.

The key takeaways are you lot are permabull charlatans and FED fanboys because they keep inflating your stock bubble.....but soon it is going to go BANG

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