JPMorgan Chase Tower (Photo credit: Kent Wang)
JP Morgan Chase (NYSE: JPM) made the last hour of trading even hotter with the bank’s dividend and buyback announcement. The Federal Reserve gave the US largest bank by assets the blessing to raise the dividend on the bank’s stock by a nickel to 30 cents a share and allowing a plan buyback of $15 billion of its stock. This announcement was just before the Federal Reserve Bank’s Stress Test release by the Federal Reserve Bank on 19 banking institutions, and the performance results were made public after the 4pm market close. The blessing by Federal Reserve was more good news for the markets as the Dow surged 218 points, and the NASDAQ closed above 3000. JP Morgan did lead the industry in announcing the increase on dividends paid to its shareholders.JP Morgan Chase was up 7% to 43.39 at close of business today….
However, many banks and financials were a benefactor on JP Morgan’s announcement late Tuesday. The following DC banking/financial institutions did see significant gains in stock price. The following stock prices are a courtesy of Google Finance:
Courtesy of Google Finance:
MTBM&T Bank Corporation 83.75+2.60 3.20%
The strong performance in the markets should not be the only litmus test in a restoration of confidence in the financial system.
After the markets closed, the results of the Fed’s stress tests saw 15 of 19 institutions pass the test. Four institutions did fail a measure of criteria of the stress tests. These institutions were Citigroup, SunTrust, MetLife Bank, and Ally Bank. Additional information on the Federal Reserve stress tests can be found at donny-wise.com.
- J.P. Morgan Chase ups dividend; plans $15B buyback (marketwatch.com)
- Fed To Accelerate Stress Test Result Release Following JP Morgan Disclosure (zerohedge.com)
- J.P. Morgan Raises Weak Dividend, Pleases on Buyback & Stress Test (JPM, BAC, C, WFC) (247wallst.com)
- David Weidner’s Writing on the Wall: Stress tests? Bank investors should relax (marketwatch.com)
- JPMorgan increases quarterly dividend to 30 cents (news.yahoo.com)
- Natural gas rises on Fed’s rosier economic outlook (news.yahoo.com)
- JP Morgan Passes Stress Test, To Boost Dividend Payment (blogs.wsj.com)
- Stress Tests: Official Statements From Banks (blogs.wsj.com)
Continue reading on Examiner.com JP Morgan’s announcement boost bank stocks – Washington DC consumer and banking | Examiner.com http://www.examiner.com/consumer-and-banking-in-washington-dc/jp-morgan-s-announcement-boost-bank-stocks#ixzz1p6YGzOzO
Continue reading on Examiner.com JP Morgan’s announcement boost bank stocks – Washington DC consumer and banking | Examiner.com http://www.examiner.com/consumer-and-banking-in-washington-dc/jp-morgan-s-announcement-boost-bank-stocks#ixzz1p6Y3NQb2
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- Bank Stocks Soar Into the Close, S&P 500 Approaches 1400 (blogs.wsj.com)
- JP Morgan is today’s winner of Fed’s stress test (donny-wise.com)
- J.P. Morgan Chase ups dividend; plans $15B buyback (marketwatch.com)
- Bank stress tests be released Tuesday: Fed (marketwatch.com)
- Federal Reserve annual stress test fails 4 of 19 big banks (usatoday.com)
- Morning MarketBeat: After Stock Surge; Whats Next? (blogs.wsj.com)
- Citi among banks that fail Fed stress test (marketwatch.com)
- 4 of 19 U.S. banks fail stress test (cbc.ca)
- Three Banks fail Federal Reserve’s stress test criteria (donny-wise.com)
- Why I am Disappointed in J.P.Morgan’s Dividend Hike & Buyback Plan (JPM, BAC, WFC) (247wallst.com)
