JPMorgan Profit Soars to Record After Bank Releases Reserves for Bad Loans
JPMorgan Chase posted a nearly fivefold increase in quarterly profit thanks to booming markets and an economic recovery that allowed it to free up $5.2 billion in funds it had set aside to cover soured loans. During the pandemic, JPMorgan and other big banks set aside billions of dollars in loan-loss reserves to prepare for a potential flood of consumer and business defaults. The rainy-day funds ate into quarterly profits for much of 2020. But big losses never materialized, and now banks are now cashing in on their diligence. [The Wall Street Journal]
Banks put billions into reserves during pandemic to cover expected bad loans which never … [+]
Getty
CEO of a Top Bitcoin Exchange Warns a Crackdown on Cryptocurrencies May Be Coming
Governments around the world may start to clamp down on the use of bitcoin and other cryptocurrencies, the CEO of a top…