JPMorgan Chase & Co. churned out a surprise increase in net interest income — a key metric that shows the difference between what banks collect on loans and what they pay out to depositors. For years, persistently high interest rates have buoyed lenders’ net interest income, handing the industry record profits. Shares of JPMorgan soared after the bank’s executives said a looming drop in net interest income could be over by the middle of next year. Those will continue to adjust as rates move.”Deals BoostThere’s one group inside the banks that have been patiently awaiting the arrival of lower interest rates: dealmakers. “In the debt markets, as rates came down, spreads are quite low, and markets are wide open,” JPMorgan Chief Executive Officer Jamie Dimon said on the conference call.

Source: Mint October 12, 2024 06:42 UTC