JPM 3Q results came in at $1.01 vs. $0.90 consensus on lower provision in both the mortgage and credit card portfolios. Revenue missed at $24.3B vs. $24.6B expected which is 15.4% less than 3Q09. Loan losses remain high but are no longer growing at the pace they did during the recession. Provision remains high at 5.1%. Retail banking and credit card business improved, while investment banking and trading softened. Looking up this morning pre-market.
Intel beat forecasts on both the top and bottom lines. INTC had warned of a slowdown in PC sales in August, but the numbers looked strong and the fears of a slowdown are off the table from now. I find this all very curious. Did they sandbag the quarter on purpose?
The FOMC minutes released yesterday supported market speculation that a second round of QE will be coming soon. As expected, the committee cut its growth expectations for the remainder of 2010 and 2011. The minutes did indicate however that a return to recession is viewed as unlikely by the committee members (...why the stimulus then???)
The economic calendar is a bit light today. We have MBA Mortage Applications, Import/Export Prices, Treasury Budget, a speech from Bernanke after the close, and a speech by Lacker this evening.
Dow Futures are up 74 points and S&P is looking up 8.75 points.
Lastly, a reminder that we will get the POMO schedule for the next four weeks at 11 am PST today.
No comments:
Post a Comment