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[$$] Investors Are Ignoring the Good News in Banks

JPMorgan Chase and Citigroup both reported second-quarter earnings on Friday that beat analyst estimates, with profit rising 18% and 16% from a year earlier, respectively. JPMorgan and Citigroup shares were already down 8% and 13% since the end of January, as investors anticipated a grim future for banks where a trade war cut demand for loans, a recession boosted credit losses and where a flattening yield curve cut profits. At JPMorgan, core loan growth was a robust 7%, unchanged from the first quarter.