Wall Street rakes in record profits but JPMorgan CEO Jamie Dimon flags risks

America’s biggest banks reported their strongest first-quarter profits in years, driven by a surge in trading — but JPMorgan Chase CEO Jamie Dimon warned the US economy faces a growing list of global risks.JPMorgan Chase, the country’s largest bank, said its trading desk racked up a record $11.6 billion as clients scrambled to buy and sell investments amid worries about wars, trade tensions and artificial intelligence shaking up industries.That trading business — essentially the fees banks pocket for helping customers trade stocks and bonds — jumped 20% from a year earlier.Investment banking fees, earned from advising on company mergers and helping firms raise money, surged 28% as dealmaking picked up.The US financial giant said the American economy had stayed resilient, with steady consumer spending and business activity helping keep loan defaults low.

Overall, the bank’s profit rose 13% to $5.94 a share, beating analysts’ forecasts.Total revenue climbed to $50.5 billion.Still, Dimon, who has led JPMorgan for two decades, told “Fox & Friends” on Tuesday that investors will remain on edge until the Iran war is resolved.“Look, the markets are unpredictable and it’s hard to for me to tell you exactly what,” he said when asked about the economic impact of the conflict.“But I think they’re just looking at, is there a chance something can go wrong now?” the exec added.On a call with analysts, the long-serving chief executive also noted there had been about looser lending standards in some corners of finance.

“There’s been some weakening in underwriting, and that’s not just by private credit,” the top banker warned, referring to loans made by non-bank lenders that operate with less government oversight.The strong results capped a banner start to earnings season for the biggest banks.Goldman Sachs posted record trading numbers the day before.

Citigroup on Tuesday posted its highest quarterly revenue in a decade at $24.63 billi...