Last Friday saw JP Morgan and Wells Fargo kick off the season, with both banks reporting figures ahead of expectations. JP Morgan saw revenues up 10%, while Wells Fargo enjoyed a 20% rise in profits, taking them to $5.27 billion.
Citigroup, once the global banking titan but now rather cut down from its former glory, reported a whopping 41% rise in second-quarter profits, and, in common with its peers, saw increased activity in the mortgage department. Loan volumes are rising again, as more Americans look to move house.
Banks are a crucial indicator for any national economy, since they see the life-blood of capitalism – loans – moving through their books. US banks have enjoyed an excellent performance over the past 12 months, with Citigroup and Morgan Stanley enjoying a near 100% rise.