Banks report strong Q1 earnings, but CEOs warn of uncertainty

Major US banks, including JPMorgan, Wells Fargo, Morgan Stanley and BNY, kicked off earnings season, reporting strong first-quarter numbers that beat analysts’ expectations. However, they signaled economic uncertainty looms.

JPMorgan CEO Jamie Dimon warned that the economy is “facing considerable turbulence” due to tariffs, inflation and geopolitical tensions. He also stated there are positives to the Trump administration’s aim of deregulation and tax reforms.

While BlackRock reported record assets under management, its CEO Larry Fink called President Donald Trump’s reciprocal tariffs beyond anything he’d seen in his 49 years in finance.

Morgan Stanley’s Ted Pick told analysts that the current uncertainty of US trade policies and market unpredictability has deferred some clients.

Overall, banks are doing well for now, but their CEOs are prepping for a rockier road in 2025.

Markets responded unevenly
Shares of JPMorgan, Morgan Stanley and BNY rose 3.5%, 1% and 1.3%, respectively.

Wells Fargo dropped 4.4% after it reported revenue generated through interest payments had declined 6% to $11.5 billion. The KBW Nasdaq Bank Index slipped 2.3% yesterday.