BlackRock, JPMorgan, Wells Fargo and Citi post record earnings on Wall Street

Wall Street’s top banks just posted second-quarter numbers that blew the lid off estimates, per financial reports reviewed by Cryptopolitan. BlackRock, JPMorgan, Wells Fargo, and Citigroup delivered historic figures that prove Trump’s antics don’t bother the trading floor at all.

BlackRock became the first asset manager in the world to cross $12 trillion under management. At the end of Q2, the firm reported $12.53 trillion in total assets, an 18% jump from the same time last year. The spike was fueled by $68 billion in net client inflows and the lift in U.S. equities to record highs.

Profit for the quarter came in at $1.59 billion, up from $1.5 billion a year ago. On a per-share basis, earnings reached $12.05, beating FactSet’s forecast of $10.78. Revenue also rose 13% to $5.42 billion, just under the $5.45 billion expected by analysts.

BlackRock’s private credit play boosts profits

A big part of the growth came from BlackRock’s deeper push into private markets. The firm closed its acquisition of HPS Investment Partners, a major player in private credit, on July 1, just after the quarter ended. In a written statement, CEO Larry Fink said, “Our recent closing of HPS will help us build even more with clients as we head into our seasonally strongest second half of the year.” He added, “These are just the early days in our next phase of even stronger growth.”

This private credit deal positions BlackRock to keep raking in high-fee revenue as institutional clients continue shifting out of traditional markets. With this strategy in motion, the firm is widening its lead not just in assets under management but in influence across global capital flows.

On the banking side, Wells Fargo reported that it has finally crossed the $1.95 trillion asset level for the first time in over seven years. The bank now stands at $1.98 trillion in total assets, a jump that followed a major regulatory change in June when the Federal Reserve lifted a growth cap that had been in place since 2017.

The cap was originally imposed after a series of fake account scandals and compliance failures across multiple business lines. Those restrictions had prevented Wells Fargo from growing, costing it an estimated $39 billion in missed profit.

CEO Charlie Scharf addressed the development in a statement tied to the Q2 report, saying, “The lifting of the asset cap in the second quarter marked a pivotal milestone in Wells Fargo’s ongoing transformation.”

With that restriction gone, the bank can now expand its market-making, trading, and investment banking units, putting it back in direct competition with the larger U.S. banks it had fallen behind.

Citigroup and JPMorgan ride market volatility to massive trading wins

Citigroup had a standout quarter in trading. Fixed-income revenue jumped 20% to $4.3 billion, beating Bloomberg’s estimate of $3.9 billion. The stock trading desk brought in $1.6 billion, also above projections, driven by a surge in prime balances to record levels. 

Market volatility played a key role in this, as traders responded to unpredictable price swings after Donald Trump announced a series of new tariffs on multiple trading partners earlier this year. These changes rattled global markets and triggered a rise in client trading activity.

CEO Jane Fraser commented on the results, stating, “We’re improving the performance of each of our businesses to take share and drive higher returns.” The five-year high in quarterly trading performance shows just how much client flow and risk appetite have returned to the system.

JPMorgan didn’t miss either. The bank’s fixed-income trading revenue hit $5.69 billion, up 14% from the previous year’s quarter. The performance was led by strong results across currencies, emerging markets, commodities, and rates.

CEO Jamie Dimon connected the success to clearer policy under Trump’s administration, pointing to changes in the tax code. “I think it has the benefit of creating clarity around corporate and business taxes, and R&D expenses and things like that. So I’m not talking about the rest of the bill, just the tax side.”

Cryptopolitan Academy: Coming Soon - A New Way to Earn Passive Income with DeFi in 2025. Learn More