Tags: S&P JPMorgan Outlook Improving | Downgrade Less Likely

S&P: JPMorgan Outlook Improving, Downgrade Less Likely

Friday, 25 Feb 2011 03:59 PM


JPMorgan Chase & Co., the second-biggest U.S. bank by assets, had its credit outlook upgraded by Standard & Poor’s, which said the lender’s profit is likely to rise.

The outlook was raised to “stable” from “negative” because the New York-based firm “is well-positioned to resume significant earnings growth as the general economy recovers,” S&P said today in a statement.

The credit rater said JPMorgan has a “very strong competitive position” and implicit backing for the company’s debt from the federal government because of the bank’s size and importance in the global economy.

“The stable outlook assumes that JPM’s earnings and capitalization will continue to strengthen, and that it will retain a sound funding and liquidity position,” S&P said. New York-based S&P also warned that JPMorgan’s ratings could fall if the credit quality of the bank’s lending book deteriorates or if home prices significantly decline.

© Copyright 2015 Bloomberg News. All rights reserved.

Around the Web

Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
Zip Code:
Privacy: We never share your email.

You May Also Like
Around the Web
Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

© Newsmax Media, Inc.
All Rights Reserved