In the latest quarterly report, the well-known boss summed up his views on the US economy.
– The economy continues to grow and the job market and consumer consumption are still at a healthy level, Dimon wrote before changing the tone of the letter.
– But with geopolitical unrest, high inflation, declining consumer confidence, interest rate uncertainty, in addition to the tightening of the quantitative easing and its impact on liquidity, much is very uncertain. This combined with the war in Ukraine which has led to higher energy and food prices. It is very likely that it will sooner or later have negative consequences for the world economy.
Dimon’s comments come after analysts around the world fear recession in the future.
Weaker results than expected
JPMorgan reported a profit after tax of $ 8.65 billion, or $ 2.76 per share. share, in the second quarter of 2022. In the same period last year, the major bank earned $ 11.95 billion, or $ 3.78 per share. action.
This corresponds to a fall in earnings of 28 percent. The bank explained the fall by saying that the loss reserves have been built up by 428 million dollars. In the second quarter of last year, $ 3 billion was released from reserves.
Turnover went from $ 30.5 billion to $ 30.7 billion.
The FactSet consensus pointed to earnings of $ 2.89 per share. $ 31.81 billion worth of revenue.
JPMorgan announced on the same occasion that the bank will stop repurchasing its own shares to meet new capital requirements from the Federal Reserve.
–
