JPMorgan's net profit surges on higher interest rates and tax cuts

JPMorgan Chase & Co reported a 24.5 per cent jump in quarterly profit as higher interest rates and gains from tax cuts helped offset weakness in bond trading revenue.

The largest U.S. bank by assets said net income for the third quarter rose to $8.38 billion, or $2.34 per share, from $6.73 billion, or $1.76 per share in the year-ago period.

Analysts had expected earnings of $2.25 per share, according to I/B/E/S data from Refinitiv. It was not immediately clear if the reported results were comparable.

Smaller rivals Citigroup Inc and Wells Fargo are also expected to report quarterly results later in the day.

Quarterly reports from large banks mark the beginning of the earnings season for U.S. corporations and also provide investors a glimpse into the health of the economy.