Latest news with #banks
Globe and Mail
9 hours ago
- Business
- Globe and Mail
Zacks Earnings Trends Highlights: JPMorgan, Bank of America, Citigroup, Wells Fargo, Goldman Sachs and Morgan Stanley
For Immediate Release Chicago, IL – July 17, 2025– Zacks Director of Research Sheraz Mian says, "The banks already reported not only produced better-than-expected Q2 results, but managements' commentary on business trends and conditions paints a favorable and reassuring view of the coming quarters." Q2 Earnings Season Kicks Off Positively: A Closer Look Note: The following is an excerpt from this week's Earnings Trends report. You can access the full report that contains detailed historical actual and estimates for the current and following periods, please click here>>> Here are the key points: The big banks and brokers have given us a positive start to the Q2 earnings season. These banks have not only reported better-than-expected Q2 results, but managements' commentary on business trends and conditions paints a favorable and reassuring view of the coming quarters. For the 38 S&P 500 companies that have already reported Q2 results, total earnings are up +8.3% from the same period last year on +4.8% higher revenues, with 84.2% beating EPS estimates and 81.6% beating revenue estimates. It is relatively early in the Q2 reporting cycle, but the proportion of these 38 index members beating EPS and revenue estimates is tracking notably above the 20-quarter average for this group of companies. For the Finance sector, we now have Q2 results from 35.6% of the sector's market capitalization in the S&P 500 index. Total earnings for these Finance companies are up +13.2% from the same period last year on +3.4% higher revenues, with all the companies beating EPS estimates and 84.6% beating revenue estimates. Reassuring Bank Results Stocks of the big Wall Street firms have been stellar market performers lately. This had increased the odds in our eyes that the companies' June-quarter results may prove to be sell-the-news type of developments, particularly since these banks weren't expected to show much strength in their numbers. Considering the year-to-date performance of JPMorgan ( JPM ), Bank of America BAC, Citigroup C, Wells Fargo WFC, Goldman Sachs GS and Morgan Stanley MS. Each of these Wall Street firms has outperformed the market this year, except for Bank of America, which has modestly lagged behind the market. It is reassuring to see that the actual results from Q2 have largely been very strong and better than expected. Importantly, management commentaries on business trends, the coming quarters, and the overall health of the economy have been broadly positive. We should note, however, that results at Bank of America and Wells Fargo were mixed at best, with both coming up short of net interest income and the latter also guiding lower on that front. Net interest income, which is the money banks earn from their lending operations, decreased by -2.6% at Wells Fargo and increased by +7% at Bank of America. Net interest income was up +2% at JPMorgan and an impressive +12% at the seemingly resurgent Citigroup. The favorable performance of Citigroup shares in the above chart not only anticipated the bank's strong results but also reflected the market's confidence in the new management team's strategy. Citigroup also had impressive results in the trading and investment banking businesses. Trading revenues were up +16% at Citigroup, while JPMorgan, Bank of America, Goldman Sachs, and Morgan Stanley reported gains of +15%, +15%, +22%, and +18%, respectively. Goldman Sachs' equity trading volumes were a new all-time quarterly record. While the trading business benefited from the elevated tariffs-centric market volatility, the resulting business uncertainty chilled investment banking activities, particularly in the immediate aftermath of the tariff announcements at the start of Q2. However, as JPMorgan noted on its earnings call, the pace of activity notably picked up later in the quarter, resulting in all of these companies exiting the quarter in a much better position. Investment banking revenues increased +15% at Citigroup, while the same at Goldman Sachs and JPMorgan increased +26% and +7% from the year-earlier level, respectively. Please note that JPMorgan's +7% increase in investment banking revenues compares to management's earlier guidance of a mid-teens decline. Investment banking revenues were down at Morgan Stanley and Bank of America. For the Zacks Investment Brokers & Managers industry at the mezzanine level, which includes all of these Wall Street firms, total Q2 earnings are now expected to be up +10.5%, which compares to the -2.8% decline that was expected before these results came out. Q2 earnings growth for the Zacks Finance sector is now expected to be +14.3% on +4.8% revenue growth. With about two-thirds of the sector's market capitalization still to report Q2 results, the Q2 earnings growth pace should go up further in the days ahead. Importantly, the positive and reassuring management commentary from these Wall Street firms should help push estimates higher for Q3 and beyond. Expectations for 2025 Q2 & Beyond The strong bank results have helped push the Q2 earnings growth expectation higher, with earnings for the S&P 500 index now expected to increase by +5.7% from the same period last year on +4.2% higher revenues. The market's rebound from the post-tariffs April lows has been very impressive, likely suggesting that market participants don't see the tariff uncertainty as presenting a significant threat. This view is also confirmed by commentary from management teams during their earnings calls. We find ourselves a bit skeptical of this sanguine view. Whatever the final level of tariffs turns out to be, it will have an impact on the earnings picture. Research Chief Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months. Free: See Our Top Stock And 4 Runners Up Follow us on Twitter: Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates. Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@ provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. Past performance is no guarantee of future results. Inherent in any investment is the potential for material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit for information about the performance numbers displayed in this press release. Zacks' Research Chief Picks Stock Most Likely to "At Least Double" Our experts have revealed their Top 5 recommendations with money-doubling potential – and Director of Research Sheraz Mian believes one is superior to the others. Of course, all our picks aren't winners but this one could far surpass earlier recommendations like Hims & Hers Health, which shot up +209%. See Our Top Stock to Double (Plus 4 Runners Up) >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Goldman Sachs Group, Inc. (GS): Free Stock Analysis Report Bank of America Corporation (BAC): Free Stock Analysis Report Wells Fargo & Company (WFC): Free Stock Analysis Report JPMorgan Chase & Co. (JPM): Free Stock Analysis Report Morgan Stanley (MS): Free Stock Analysis Report Citigroup Inc. (C): Free Stock Analysis Report
Bloomberg
9 hours ago
- Business
- Bloomberg
Banks Are Playing Long Game in Push to Trade Private Credit
When the six largest Wall Street banks announced this week they had collected over $20 billion of revenue by trading fixed-income products in a volatile second quarter, one of the most in-demand segments of the debt world was conspicuously absent from those figures: private credit. Gaining a foothold in trading traditionally illiquid private credit has proved elusive for traditional lenders. Even so, more banks are getting into the mix, establishing their own efforts to buy and sell private loans in a bet that volumes will ultimately pick up.
Gulf Business
10 hours ago
- Business
- Gulf Business
UAE Central Bank fines foreign bank $163,000 for non-compliance
The The sanction follows examinations carried out by the CBUAE, which found that the branch had failed to meet the requirements set out in the Market Conduct and Consumer Protection Regulations and Standards. Read: In a statement, the CBUAE reaffirmed its commitment to ensuring all banks and their employees comply with UAE laws and the regulatory framework established by the Central Bank. These efforts are aimed at safeguarding transparency and upholding the integrity of the banking sector and the broader financial system.
Telegraph
10 hours ago
- Business
- Telegraph
Russian banks prepare for bailouts as Putin's war hammers economy
Russia's banks are reportedly seeking to arrange bailouts from Moscow as borrowers struggle to repay loans across the war-battered economy. At least three of the country's biggest banks are investigating the possibility of a state rescue, according to Bloomberg News, in the latest sign the nation is struggling under the pressure of its invasion of Ukraine. Officials are said to have ordered banks to avoid disclosing the full level of bad loans and instead to restructure their books to present a healthier image. But this tactic may be nearing the end of the road, requiring support from Moscow. Russia's economy is under strain from the cost of Vladimir Putin's war in Ukraine, sanctions imposed by Western nations, the loss of manpower both to the armed forces and to flight abroad, and the drop in oil prices, which threatens a critical source of revenues for the government. The country's economy grew by 4.3pc last year, according to official estimates, supported by Moscow funnelling resources into the war. One rouble in every three spent by Moscow goes on the military. However, the wider private sector has suffered. The purchasing managers' index, an influential survey of the private sector, has fallen to its lowest level since the full-scale invasion began, indicating business activity is declining. Growth is expected to slow sharply this year. Analysts at Goldman Sachs predict GDP growth of a much more modest 0.5pc, despite the vast military expenditures. Spiralling food prices and labour shortages have also pushed inflation into double digits. Ordinary Russians are struggling to buy some of the basics, with even potatoes now in short supply. The central bank is struggling to control the situation despite keeping interest rates at 20pc. The government's finances are also under strain from large bonus payments and high wage offers for soldiers, though these have helped support troops' family finances even in the face of booming inflation. Moscow's oil revenues are also down by a third from last year, after the price of a barrel on international markets – not all of which are accessible to Russia – dropped from $85 (£63) a year ago to $67 now. Analysts at Goldman Sachs expect the rouble to depreciate by as much as 30pc against the dollar over this year, a move that would be expected to further increase the cost of imports into Russia. More pressure looms. Donald Trump has threatened to impose tariffs of 100pc on American imports of products from countries which trade with Russia if Putin does not agree to a deal on Ukraine, in a move which threatens to further isolate the rogue state from the wider global economy.
Forbes
13 hours ago
- Business
- Forbes
CD Rates Today: July 17, 2025 - Earn As Much As 4.94%
Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors' opinions or evaluations. Today's highest CD rate is 4.94% for a jumbo 6-month CD. CD rates from online banks are commonly twice as high as the national average rates. CD ladders let you leverage high rates without locking up all of your money long-term. The best interest rates on CDs—certificates of deposit—range as high as 4.94% today, which is far higher than CD rates were a few years ago. Here's an overview of the best CD rates for you. A CD is a kind of savings account with a fixed interest rate for a given term. You can access your principal and interest payments once the CD term expires; if you withdraw money before that time, you'll incur an early withdrawal penalty . Traditionally, the longer a CD term, the higher the yield, but that dynamic hasn't held in recent years. Make sure you select a CD that matches up with when you'll need the money. Three-month CDs are a good option for short-term savings goals. The current average rate on a three-month CD sits at 1.3%, but the highest rate is 4.62%. The average rate is unchanged from a week ago. A six-month CD offers a nice blend of high yields and short-term time commitment, and the highest yield you can find is 4.94%, about the same as last week. The current average APR for a six-month CD is 1.76%. The highest interest rate currently available on a 12-month CD—one of the most popular CD terms—is 4.64%. If you discover a rate in that neighborhood, you've found a good deal. That rate hasn't changed much since last week. The average APY, or annual percentage yield, on a one-year CD is now 1.84%, unchanged from a week ago. If you can hold out for two years, 2-year CDs today are being offered at interest rates as high as 4.52%. That's the same as this time last week. The average APY for the CD is 1.64%, flat to last week's average. Today, the highest rate on a three-year CD stands at 4.26%, so you'll want to shop around for that rate or something near it. The average APY is 1.57%. The highest rate available today for a five-year CD is 4.26%. The average APY is 1.58%, similar to last week. The longer the term, the higher the early withdrawal penalty. It's not unusual to lose one full year's worth of interest or more if you break open a five-year CD early. Be absolutely certain you understand the penalty before you make your investment. The best rate today on jumbo CDs is 4.94% for a 6-month term. As with non-jumbo, various term lengths are available. The average APY for the 6-month CD is currently 1.81%. Most jumbo CDs require a minimum deposit of $100,000—and some even require $250,000. However, there's no universally agreed-upon definition regarding what qualifies as a "jumbo" CD. Some banks and credit unions slap the label "jumbo" on CDs you can open with $50,000, $25,000 or even less. Related: CD Interest Rates Forecast: How Good Will They Get? CD rates are rarely the same between any two banks, so you should comparison shop when looking for a new account. You may decide to stick with your current bank because it's convenient or join a new bank to take advantage of higher rates. To find the right CD, look at the specific term you're interested in with a few different banks. Traditional, brick-and-mortar banks tend to offer lower CD rates, in general, than online banks without any branches. For example: Other top CD rates by banks include: CDs are a relatively simple savings tool: You open an account with a deposit (your principal), let your money sit for a predetermined period of months or years while you enjoy the magic of compounding interest . Many CDs (as well as share certificates offered by credit unions) require a minimum deposit (typically less than $10,000 unless it's a jumbo CD) to open your account. Some financial institutions allow you to fund an account with as little as a penny. But banks and credit unions typically won't allow you to add to your deposit once the term begins and the clock starts ticking. And they're serious about not letting you crack open your CD or share certificate too soon. Early withdrawal penalties can be so tough that they'll eat into your principal, not just take back some of your interest. CDs typically pay higher interest than other savings vehicles, even the best high-yield savings accounts and money market accounts . And while they may not offer the kind of enviable returns that are possible with stocks, CDs beat the more attention-getting investments in one regard: They're one of the safest places to put your money. Investors lost millions in the 2022 crypto crash, and putting your money into the stock market, real estate or gold and other commodities can be risky, too. But when you buy a certificate of deposit or credit union share certificate from a federally insured financial institution, you can sleep easily with the knowledge that your investment is protected. The Federal Deposit Insurance Corp. provides you with up to $250,000 in coverage in the event the bank issuing your CD ever fails. For share certificates purchased from federal credit unions and most state-chartered credit unions, the National Credit Union Administration insures your money up to the same limit. Traditional brick-and-mortar banks have far greater operating expenses than banks that only exist online. That's why online banks are usually able to offer more attractive APYs on CDs – they have lower overhead costs, so they can afford to pay higher interest rates to customers. Related: CD Interest Rates Forecast: How Good Will They Get? Curinos determines the average rates for certificates of deposit (CDs) by focusing on specific CDs and excluding others. Certain types, such as promotional offers, relationship-based rates, private, youth, senior, student/minor, affinity, bump-up, no-penalty, callable, variable, step-up, auto transfer, club, gifts, grandfathered, internet-only and IRA CDs are not considered in the calculation. Frequently Asked Questions (FAQs) You build a CD ladder by saving your money in multiple CDs with cascading term lengths. For instance, you might buy a one-year CD, a two-year CD, a three-year CD, a four-year CD and a five-year CD. As each of the shorter-term CDs matures, you replace it with a new five-year CD. Follow this plan and you'll have one better-yielding five-year CD maturing each year. If you're ever having a bad year, you could take some of the cash from the expiring CD and use it to pay bills instead of pouring it all into a fresh CD. Comparison shop to track down the best CD rates . Banks and credit unions compete by offering alluring yields to land your business, so shopping around is a must before you purchase any bank CD or credit union share certificate. CDs usually come with zero fees, meaning your money won't be nibbled at by the monthly maintenance fees that are typical with many savings, checking and money market accounts. You will likely be charged an early withdrawal penalty if you end your CD term early. Make sure you won't need access to your cash in the meantime.
