JPMorgan Profit Beats as Loan Quality, Bond Trading Improve

  • Earnings benefit from mortgage, energy-loan reserve releases
  • Bond-trading revenue rises 31%, beating analysts’ estimates

JPMorgan 4Q Profit Climbs on Bond-Trading Revenue

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JPMorgan Chase & Co. said fourth-quarter profit rose 24 percent as the biggest U.S. bank set aside less money for bad loans and bond-trading revenue increased more than analysts estimated.

Earnings benefited from better credit quality among U.S. consumers and corporations, allowing the bank to pull about $400 million from bad-loan reserves in the mortgage, energy and metals businesses, New York-based JPMorgan said Friday in a statement. Fixed-income trading also contributed to the gains. Chief Executive Officer Jamie Dimon, 60, said last month that bond and stock trading volume was “much better” after the U.S. election.