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JPMorgan Chase just reported a record quarterly profit. But its CEO is still nervous

January 15, 2021. Summarized by summa-bot.

Compression ratio: 66.7%. 2 min read.

JPMorgan Chase & Co. CEO Jamie Dimon speaks during the Business Roundtable CEO Innovation Summit in Washington, DC on December 6, 2018. (Photo by Jim WATSON / AFP) (Photo credit should read JIM WATSON/AFP via Getty Images)

The economy may not have fully recovered yet, but that's no problem for America's biggest bank. JPMorgan Chase reported a record profit of $12.1 billion for the fourth quarter Friday — easily topping Wall Street's forecasts.

JPMorgan Chase reported a record profit of $12. 1 billion for the fourth quarter Friday — easily topping Wall Street's forecasts.

But JPMorgan Chase CEO Jamie Dimon still sounded a bit nervous about the near-term economic outlook, citing the lingering effects of the Covid-19 pandemic.

Dimon noted in the bank's earnings release that the build-up in credit reserves "continue to reflect significant near-term economic uncertainty and will allow us to withstand an economic environment far worse than the current base forecasts by most economists. "

Shares of JPMorgan Chase (JPM), which were already up 11% so far in 2021 before the earnings report, fell slightly in premarket trading Friday but are still trading at an all-time high.

JPMorgan Chase reported solid gains in its investment banking unit and a healthy jump in trading revenue.

The bank's consumer business is still suffering a bit though.

Revenue was down 8% in the unit in the fourth quarter as the banks posted declines in net income for its core consumer banking and credit card lending divisions.

JPMorgan Chase chief financial officer Jennifer Piepszak said during a conference call with reporters that the bank does not expect loan demand to pick up that much this year despite the continuation of low interest rates.

Fueled by a booming housing market thanks to low rates and rising prices as more people are moving to the suburbs, JPMorgan Chase reported a 16% jump in home lending revenue from a year ago.

Dimon said during the call with reporters that the housing market should remain robust, because there is still a supply shortage that is boosting home prices.

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