JPMorgan Earns $3.6B, Despite Loan Losses

Market soars as investment profits give bank strong 3rd quarter
By Newser Editors and Wire Services
Posted Oct 14, 2009 9:02 AM CDT
In this Oct. 10, 2008 file photo, a man walks into a JP Morgan Chase & Co. building in New York's financial district in New York.   (AP Photo/Mark Lennihan, file)
camera-icon View 2 more images

(Newser) – JPMorgan Chase reported strong third-quarter earnings today as its thriving investment banking business more than offset rising consumer loan losses that the bank warned would continue. The company, the first of the big banks to report, showed a $3.59 billion profit, or 82 cents per share. But it also roughly doubled the amount of money it set aside for failed home and credit card loans in the quarter, saying credit losses would remain high "for the foreseeable future."

Investors didn't seem troubled by the bank's dim credit outlook, sending its stock up $1.61 in early trading. The Dow was recently up 98 points, hovering just below 10,000, at 9961.