First-quarter earnings for JPMorgan, Citi, and Wells Fargo exceeded estimates and benefited from interest rate increases.
Despite the banking crisis brought on by the failure of two local institutions, JPMorgan Chase & Co., Citigroup, and Wells Fargo & Co. posted exceptional earnings in the first quarter of 2023 due to greater interest payments. As the economic outlook grew gloomier, these banks were able to ignore the crisis and lay aside billions of dollars in case of loan defaults. Despite rate rises, consumer and business spending remained constant, helping all three banks surpass Wall Street projections. However, they also noted indications of a slowdown and took appropriate precautions. In Particular, JPMorgan experienced a rise in its shares,…