JP Morgan, BlackRock, Delta. The American quarterly reports are in full swing and still show solid results but amidst the risks generated by the uncertainties on the economy. JP Morgan and BlackRock beat expectations, which bodes well for finance. Delta was no exception, an encouraging sign for the industrial sector to which the airlines are a part.
According to specialist companies following analyst forecasts, such as FactSet and Refinitiv, the profits of the large Corporate American companies are expected to rise by about 30% in the third quarter of the year, a robust trend even if lower than the extraordinary 90% increase in the second. quarter, facilitated by the comparison with the three months of the 2020 pandemic lockdowns. Most companies, in reporting their accounts, cite tensions on the supply chain and costs that could affect the outlook for performance.
JP Morgan, fewer reserves and more mergers
JP Morgan, the leading US bank, reported earnings of $ 11.7 billion in the third quarter of the year, up 24% to $ 3.74 per share versus the forecast $ 3. Profits were helped by the “demobilization” of 2.1 billion in reserves, set aside during the pandemic crisis to cover potential non-performing loans. An operation that has already started in recent quarters and reflects the optimism of Chief Executive Jamie Dimon on the economic outlook.
The bank’s turnover in turn increased by 1% to 29.6 billion, while remaining slightly below expectations. The investment banking activity helped to support the results: commissions, driven by mergers (where the “fees” have even tripled) and by share placements, recorded increases of over 50%, to a record of almost 3 , 3 billion. The stock lost more than 2 percent on the stock market.
BlackRock is close to 10,000 billion in assets under management
Asset management leader BlackRock led by Larry Fink raised the curtain on better-than-expected accounts: earnings jumped 19% to $ 1.69 billion and revenue was up as well. The stock on Wall Street gained over 3 percent. Faced with the volatility of the markets, assets under management remained substantially unchanged compared to the second quarter at 9,460 billion, missing the target of ten thousand billion. In the next few hours it will be the turn of the other large banks, from Bank of America to Citigroup, from Morgan Stanley to Goldman Sachs. From next week, the focus will shift to technology groups, an even more influential performance barometer.