JPMorgan's Petno Forecasts Strong Q3 Wall Street Fees Amid Caution
Doug Petno, co-president of JPMorgan Chase (JPM), predicted a significant increase in investment banking and trading fees for the third quarter compared to last year. Speaking at a Barclays conference, he noted that clients are navigating through market volatility with confidence. This optimistic outlook contributed to gains across major Wall Street banks like Goldman Sachs (GS) and Morgan Stanley (MS). However, Petno acknowledged concerns about how sustainable these favorable conditions might be. In contrast, other banking executives have expressed more cautious forecasts for the quarter following a strong first half of 2026 driven by AI-related capital markets activity. Deal volumes have slowed since July due to market volatility and reduced global dealmaking momentum. Despite this, some optimism remains about potential mega deals in the pipeline. Bank of America (BAC) reported weaker Q3 forecasts with expected declines in investment banking fees compared to last year, contributing to a stock drop on Monday.
Tickers: $BAC $C $GS $JPM $MS $WFC
Topics: bank fees market volatility Q3 outlook Wall Street performance