Bank earnings are good. Well, Goldman Sachs (GS) and JP Morgan (JPM) are good, Wells Farge (WFC) – not so much. And I'm not sure I'd call JPM "good" as $5.2Bn of the quarter's $14.3Bn in profit came from the release of loan reserves that were set aside last year to cover anticipated loan defaults. Since the Federal Government threw $6Tn at the economy since then – it turns out they didn't need the $5.2Bn to cover bad loans so now the money (which was always in the bank) is moved to the income side of the ledger. IN PROGRESS
Bank earnings are good.
Well, Goldman Sachs (GS) and JP Morgan (JPM) are good, Wells Farge (WFC) – not so much. And I'm not sure I'd call JPM "good" as $5.2Bn of the quarter's $14.3Bn in profit came from the release of loan reserves that were set aside last year to cover anticipated loan defaults. Since the Federal Government threw $6Tn at the economy since then – it turns out they didn't need the $5.2Bn to cover bad loans so now the money (which was always in the bank) is moved to the income side of the ledger.
IN PROGRESS
