Here is a summary of Q1 earning reports from the major banks in the U. S.
JPMorgan
Earning $4.59/share vs. $3.10 expected. Revenue $33.12 billion vs. $30.52 billion expected.
Bank of America
Earning 86 cents/share, vs. 66 expected. Revenue $22.9 billion vs. $22.1 billion expected.
Citi
Earning $3.62/share vs. $2.60 expected. Revenue $19.3 billion vs. $18.8 billion expected.
Wells Fargo
Earning $1.05/share versus 70 cents expected. Revenue $18.06 billion versus $17.5 billion expected.
Goldman Sachs
Earning $18.60/share vs. $10.20 expected. Revenue $17.7 billion vs. $12.6 billion expected.
Morgan Stanley
Earning $2.19/share vs $1.70 expected. Revenue of $15.7 billion vs $14.1 billion expected.
I am expecting U. S. 10-year treasury yield moving closer to 2% by the end of the year as inflation increases when the economy opens. The Fed is likely to start to reduce the size of asset purchases sometime next year.
The stock prices of these U. S. banks are relatively cheap due to high regulation on banks, low interest rates and competitions from new shadow banks – fintech. At sometime the U. S. administration might impose regulations on fintech companies but for now it seems that the U. S. authorities are taking a wait and see approach.