Business

JP Morgan profits beat market expectations

JP Morgan logo
Image caption JP Morgan is the first of the big US banks to report its second quarter results

JP Morgan Chase has reported a 13% rise in quarterly profits, beating market estimates, driven by its commercial and investment banking divisions.

Net profits at the US group totalled $5.4bn (£3.3bn) in the three months to 30 June, up from $4.8bn a year earlier.

Revenues at its commercial banking arm reached an all-time high, and were "strong" at the investment business.

The bank's retail unit also made a profit, despite continuing losses from bad mortgage debt.

Quarterly revenues at JP Morgan Chase were up 7% to $27.4bn.

'Positive tone'

The bank said its latest results reflected "sold performance across most of our businesses".

Net profits at its investment bank totalled $2bn, while those at its commercial arm came to $607m.

Its retail banking division made a net profit of $582m, despite bad debt losses of $454m.

JP Morgan is the first of the big US banks to report its second quarter results.

Analyst Peter Cardillo, chief market economist at Avalon Partners, said: "It's good to have a big bank come out and beat estimates.

"It sets a positive tone for other commercial banks."

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