Maybe Jamie Dimon is just weary. The good news is the despite everything, JPMorgan Chase reported a profit of $527 million or $.11 per share, which includes $640 million in losses for WaMu-related losses. The rough news: Earnings were down some 80% and Dimon has little idea what’s coming next, except that things aren’t going to get any easier:
Given the uncertainty in the capital markets, housing sector and economy overall, it is reasonable to expect reduced earnings for our firm over the next few quarters. However, with a total loan loss allowance of $19 billion (including Washington Mutual) and an 8.9% Tier 1 capital ratio, we feel well-positioned to handle the turbulent environment and, most importantly, to continue to invest in our businesses and serve our clients well.
Like Wells Fargo, the company is also benefiting from the pain of its competitors, as checking accounts grew 10%. Overall though, retail is weak. Net income in the unit was just $247 million, compared to $639 million last year. And of course, lots more chargeoffs.
Bottom line: A shaky quarter and a dour outlook, but there’s nothing catching the market by surprise. Shares of JPM are down about a buck.