US banks are expected to see earnings growth of 5.5% overall for the third quarter, while revenues are forecast to grow by 4.3%. With the US economy roaring ahead, despite the recent non-farm payrolls (NFP) miss, most US banks are expected to see good growth, as interest rates rise and are forecast to rise further, while demand for loans, mortgages and other products remains strong.
The one bleak spot may be Wells Fargo, which, besieged by a multitude of troubles, is expected to report profits unchanged from a year earlier.
An all-time high for JP Morgan shares confirms the strength of this bank’s business, with more upside looking likely. The shares have seen steady gains since June 2016 and dips since then have been furiously bought, with the latest dip in September hitting the 200-day simple moving average (SMA).
The high from last week is $98.09, so a breakout from here puts the stock in all-time high territory. JPMorgan is expected to report $1.65 per share in earnings, up 4.3% from a year ago, while revenues rise 0.6% to $25.6 billion.