Frederick Douglass

"Power concedes nothing without a demand. It never did, and it never will. Find out just what people will submit to, and you have found out the exact amount of injustice and wrong which will be imposed upon them..." Frederick Douglass

Friday, July 15, 2011

JPMorgan profit rises, loan book grows

(Reuters) - JPMorgan Chase & Co posted a higher-than-expected second-quarter profit as it wrote off fewer bad mortgages and credit card loans.

The second-largest U.S. bank made new loans faster than customers paid off existing ones during the quarter, a reversal from the first quarter and a good sign for a business long plagued by weak loan demand.

JPMorgan's revenue rose and it added staff in the quarter, and its shares closed 1.8 percent higher on Thursday. But the bank faces big expenses from mortgages as the effects of the housing crisis linger.

Foreclosures could take another 12 to 18 months to start declining, Chief Executive Jamie Dimon said on a conference call with reporters.

There's been weak loan demand because they refused to lend for long enough to bankrupt the economy.