JPMorgan’s revenue jumps on report inventory buying and selling as CEO Dimon sees financial turbulence

(Reuters) -JPMorgan Chase topped first-quarter revenue estimates on Friday, pushed by report equities buying and selling and better charges from debt underwriting and merger advisory.

Shares of the most important U.S. financial institution climbed about 3% earlier than the open at the same time as CEO Jamie Dimon remained circumspect on the financial system as company America navigated the fallout of President Donald Trump’s tariffs.

“Purchasers have grow to be extra cautious amid a rise in market volatility pushed by geopolitical and trade-related tensions,” Dimon mentioned. “The financial system is dealing with appreciable turbulence, together with geopolitics.”

The financial institution elevated its provisions for credit score losses to $3.3 billion from $1.9 billion final 12 months. Customers and companies may wrestle to repay their loans if the brand new import levies reignite inflation and dampen financial development.

The outcomes from the most important U.S. financial institution provide a glimpse into the financial implications of Trump’s commerce agenda. Financial institution shares tanked after the tariffs have been introduced final week.

Uncertainty surrounding the commerce coverage has fueled market turbulence. Trump final week unveiled steep reciprocal tariffs on dozens of nations, solely to pause lots of them on Wednesday.

The heightened volatility because of shifting expectations lifted banks’ buying and selling enterprise within the first quarter as buyers rapidly adjusted their portfolios.

JPMorgan’s buying and selling income climbed 21% to $9.7 billion, greater than the sooner expectations of a low double-digits share acquire. Equities buying and selling surged 48% to a report $3.8 billion.

Funding banking charges climbed 12%, largely buoyed by optimism within the first three months of 2025 that Trump would enact pro-growth insurance policies, ease rules and decrease taxes.

CREDIT RISK

“You will see extra credit score issues,” Dimon instructed Fox Enterprise’ “Mornings with Maria” program on Wednesday.

On Monday, Dimon warned shareholders that commerce wars may have lasting unfavorable penalties together with persistent inflation and excessive fiscal deficits.

Earnings have been $14.6 billion, or $5.07 a share, for the three months ended March 31, JPMorgan mentioned. That compares with $13.4 billion, or $4.44 a share, a 12 months earlier.

Excluding one-time prices, the financial institution earned $4.91 per share, greater than estimates of $4.61, in response to knowledge compiled by LSEG.

Internet curiosity revenue (NII) – the distinction between what the financial institution earns on loans and pays out on deposits – rose 1% to $23.4 billion.

The financial institution expects NII $94.5 billion for the complete 12 months, greater than the $94 billion it anticipated earlier. The steering for NII, excluding markets, remained unchanged at $90 billion.