Wall Street’s investment banking giants reported surging profits in the first quarter of 2026 as trading revenues boomed thanks to Middle East-fueled market swings, as bank bosses shrugged off concerns about private credit exposure.
JPMorgan’s (US:JPM) net income rose 13 per cent year on year to $16.5bn (£12.3bn) in the quarter, as revenue from fixed income and equities markets jumped 20 per cent to $11.6bn. However, it cut full-year net interest income guidance to $103bn from $104.5bn.
The bank’s return on tangible equity came in at 23 per cent, against 21 per cent at Goldman Sachs (US:GS). Goldman’s net income rose 19 per cent to $5.6bn. Equities trading revenue jumped 27 per cent, but its fixed income, currency and commodities fell 10 per cent on weaker rates, mortgages and credit.