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.

1Like our page
2Share
 

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.COM
© Newsmax Media, Inc.
All Rights Reserved