Trading divisions drive earnings surge across major US lenders amid turbulent global markets
NEW YORK — Major U.S. banks reported record-breaking first-quarter results, capitalizing on heightened market volatility driven by the war involving Iran, according to the Financial Times.
Combined profits at JPMorgan Chase, Citigroup, and Wells Fargo exceeded $25 billion in the first three months of 2026, reflecting strong performance across trading operations.
JPMorgan Chase reported a 13% increase in profit to $16.5 billion, beating analyst expectations by more than $1 billion. Its fixed income and equities trading division generated a record $11.6 billion in revenue, outperforming rival Goldman Sachs by $2.3 billion.
Citigroup posted its strongest trading revenue in more than a decade, with $7.2 billion in trading income. Net profit jumped 42% to $5.8 billion, also surpassing forecasts.
At Wells Fargo, which relies more heavily on small and medium-sized businesses across retail and commercial banking, first-quarter profit rose 7% to $5.3 billion, slightly ahead of expectations.
The bank’s loan portfolio exceeded $1 trillion during the quarter, marking a symbolic milestone following the lifting of asset cap restrictions imposed in previous years.
Wells Fargo Chief Financial Officer Mike Santomassimo said the impact of the Iran war on oil prices has begun to affect consumer behavior, with fuel costs rising between 25% and 30% compared to pre-war levels.
The results underscore how geopolitical shocks can boost trading revenues for major financial institutions, even as higher energy costs begin to weigh on broader economic activity.
#WallStreet #Banks #JPMorgan #Citigroup #WellsFargo #GoldmanSachs #Earnings #FinancialMarkets #IranWar #BreakingNews
