JPMorgan Chase shrugged off a big slump in revenues from bond trading last quarter to deliver a 7 per cent rise in net profits, due largely to a resilient performance from its consumer and small-business banking unit.
The New York-based bank, the first of the big US banks to report numbers for the third-quarter on Thursday morning, set a tone that is likely to be followed by others such as Bank of America and Citigroup.
While conditions were patchy on Wall Street, particularly compared with a Brexit-boosted period a year earlier, things were brighter for the bank on Main Street, where it saw increased auto-lease volume, credit card loan balances and margins between the yield on assets and the cost of deposit funding.
Net income from the consumer and community banking division came to $2.553bn, up 16 per cent from a year earlier, while the corporate and investment banking division saw a 13 per cent drop in net income to $2.546bn. Bond trading revenues were the culprit,…