JPMorgan Profit Beats Estimates on Gains From Higher Interest Rates

JPMorgan Chase & Co. reported a smaller-than-feared drop in third-quarter profit on Friday, as a rise in interest income cushioned a blow from higher loan loss provisions and a slump in dealmaking due to a worsening economic outlook.
Shares of the largest U.S. bank rose nearly 4 percent after the results, which are being closely watched to assess the real impact on corporate America of the Federal Reserve’s aggressive interest rate hikes to tamp down inflation.
Typically, rising rates are good for banks as they can charge more interest from borrowers, but a potential economic slowdown due to a higher cost of borrowing is also seen as a risk to future earnings….
Source: The Epoch Times