Welcome!

News Feed Item

Bank of America and JP Morgan Fuel Optimism for Money Center Banks

The ShinesRooms.com Provides Stock Research on JPMorgan Chase and Bank of America

NEW YORK, NY -- (Marketwire) -- 01/07/13 -- The outlook for money center banks and financial institutes continues to brighten as the global economic forecast improves and companies build upon momentum generated at the end of last year. There could be setbacks along the way but growth in the near- and far-terms looks within reach. It is also becoming clearer that several major money center banks have applied the lessons learned in the last few years. Budgets are trimmer, lending practices more secure, provisions for loan losses fewer and operations more efficient.

Access our free reports on JPMorgan Chase & Co. and Bank of America Corporation Traders can also connect to our Wall Street Trading Floor where our research desk and market pros are standing between 8:50 am to 4:15 pm ET at

http://www.ShinesRooms.com/JPM010713.pdf

http://www.ShinesRooms.com/BAC010713.pdf

While the outlook for companies is bright, regulatory concerns will almost certainly factor into the performances of major global banking operations this year. Bank of America Corp. (NYSE: BAC), for example, has already set aside $6 billion for additional lawsuits according to a report from the Financial Times. That figure may appear foreboding initially but the fact that Bank of America was able to double its value last year while settling for billions in suits suggests any hindrances this year may not pose a major threat to its value. Weeks of negotiations between banks and Federal regulators may soon near an end this week regarding a $10 billion settlement to resolve the potential abuse of foreclosures over the last few years. Banks are on board with the deal and much of the money will go back to homeowners which could further improve the outlook for the housing market.

The housing market will likely play a more important role this year than it did in 2012. The effects of a third round of quantitative easing targeted specifically at the housing market are beginning to come into focus. Specifically, lending activities for a few major institutions have risen sharply over the last little while. At JPMorgan Chase and Co. (NYSE: JPM), third quarter 2012 lending jumped 29% over the prior year's period to reach an impressive $50 billion in home loans. If the housing market continues its recovery on its current trajectory, banks like JP Morgan may see loan activity improve even more along with margins and its bottom-line. It should be noted though that the industry as a whole is not completely on board with a housing market recovery and some continue to shift their focus away from home lending and into areas they deem more stable. There appears to be more evidence in favor of continued recovery than against it however. Joblessness has fallen below 8% and is projected to fall even further portending a potential release of pent up housing demand.

Investors will want to track the results of the coming rounds of bank stress testing. The stakes, in some ways, are even higher for this series of tests. Banks have rebuilt a substantial amount of goodwill with Federal regulators and in turn have positioned themselves to garner even more fiscal freedom with a successful stress test. The general consensus amongst money center banks is that more capital will be returned to investors in the form of dividends, share buybacks or a combination of the two. Some banks will put newly freed capital towards expansion and acquisition activity as well.

Overall, money center banks will still battle headwinds in the coming months but optimism continues to surround the industry. Regulatory concerns and sudden market shifts will be challenging but by no means insurmountable. Sustained improvement from the housing market will be important but not vital to profits. Successful stress tests will be key to investors in the short-term while also encouraging for the remainder of the year. Moderate growth looks well within reach for money center banks at the onset of 2013 but most importantly, they are currently positioned to be far more stable than they were a year ago.

About Shinesrooms.com
Shine's Rooms is the brain child of David Shine, a 13 year Wall Street veteran with a stellar track record. For 13 years Shine has trained thousands of traders to navigate and profit from the markets. Using cutting edge technology, Shine provides you with a community in which you can trade alongside Shine and his Team as they guide you through the market's ever-changing landscape. ShinesRooms.com is the Ultimate Trading Environment for investors. Over the last 5 years our returns outpaced any of the major indexes. Sign up today to find out what you are missing. www.ShinesRooms.com

To view our disclaimer, visit this link http://www.shinesrooms.com/disclaimer.html.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
In this strange new world where more and more power is drawn from business technology, companies are effectively straddling two paths on the road to innovation and transformation into digital enterprises. The first path is the heritage trail – with “legacy” technology forming the background. Here, extant technologies are transformed by core IT teams to provide more API-driven approaches. Legacy systems can restrict companies that are transitioning into digital enterprises. To truly become a lea...
Internet of @ThingsExpo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 19th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devices - comp...
SYS-CON Events announced today the Enterprise IoT Bootcamp, being held November 1-2, 2016, in conjunction with 19th Cloud Expo | @ThingsExpo at the Santa Clara Convention Center in Santa Clara, CA. Combined with real-world scenarios and use cases, the Enterprise IoT Bootcamp is not just based on presentations but with hands-on demos and detailed walkthroughs. We will introduce you to a variety of real world use cases prototyped using Arduino, Raspberry Pi, BeagleBone, Spark, and Intel Edison. Y...
Just over a week ago I received a long and loud sustained applause for a presentation I delivered at this year’s Cloud Expo in Santa Clara. I was extremely pleased with the turnout and had some very good conversations with many of the attendees. Over the next few days I had many more meaningful conversations and was not only happy with the results but also learned a few new things. Here is everything I learned in those three days distilled into three short points.
What are the new priorities for the connected business? First: businesses need to think differently about the types of connections they will need to make – these span well beyond the traditional app to app into more modern forms of integration including SaaS integrations, mobile integrations, APIs, device integration and Big Data integration. It’s important these are unified together vs. doing them all piecemeal. Second, these types of connections need to be simple to design, adapt and configure...
Why do your mobile transformations need to happen today? Mobile is the strategy that enterprise transformation centers on to drive customer engagement. In his general session at @ThingsExpo, Roger Woods, Director, Mobile Product & Strategy – Adobe Marketing Cloud, covered key IoT and mobile trends that are forcing mobile transformation, key components of a solid mobile strategy and explored how brands are effectively driving mobile change throughout the enterprise.
“We're a global managed hosting provider. Our core customer set is a U.S.-based customer that is looking to go global,” explained Adam Rogers, Managing Director at ANEXIA, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Adobe is changing the world though digital experiences. Adobe helps customers develop and deliver high-impact experiences that differentiate brands, build loyalty, and drive revenue across every screen, including smartphones, computers, tablets and TVs. Adobe content solutions are used daily by millions of companies worldwide-from publishers and broadcasters, to enterprises, marketing agencies and household-name brands. Building on its established design leadership, Adobe enables customers not o...
SYS-CON Events announced today that Sheng Liang to Keynote at SYS-CON's 19th Cloud Expo, which will take place on November 1-3, 2016 at the Santa Clara Convention Center in Santa Clara, California.
Ask someone to architect an Internet of Things (IoT) solution and you are guaranteed to see a reference to the cloud. This would lead you to believe that IoT requires the cloud to exist. However, there are many IoT use cases where the cloud is not feasible or desirable. In his session at @ThingsExpo, Dave McCarthy, Director of Products at Bsquare Corporation, will discuss the strategies that exist to extend intelligence directly to IoT devices and sensors, freeing them from the constraints of ...
Technology vendors and analysts are eager to paint a rosy picture of how wonderful IoT is and why your deployment will be great with the use of their products and services. While it is easy to showcase successful IoT solutions, identifying IoT systems that missed the mark or failed can often provide more in the way of key lessons learned. In his session at @ThingsExpo, Peter Vanderminden, Principal Industry Analyst for IoT & Digital Supply Chain to Flatiron Strategies, will focus on how IoT de...
Complete Internet of Things (IoT) embedded device security is not just about the device but involves the entire product’s identity, data and control integrity, and services traversing the cloud. A device can no longer be looked at as an island; it is a part of a system. In fact, given the cross-domain interactions enabled by IoT it could be a part of many systems. Also, depending on where the device is deployed, for example, in the office building versus a factory floor or oil field, security ha...
24Notion is full-service global creative digital marketing, technology and lifestyle agency that combines strategic ideas with customized tactical execution. With a broad understand of the art of traditional marketing, new media, communications and social influence, 24Notion uniquely understands how to connect your brand strategy with the right consumer. 24Notion ranked #12 on Corporate Social Responsibility - Book of List.
Businesses are struggling to manage the information flow and interactions between all of these new devices and things jumping on their network, and the apps and IT systems they control. The data businesses gather is only helpful if they can do something with it. In his session at @ThingsExpo, Chris Witeck, Principal Technology Strategist at Citrix, will discuss how different the impact of IoT will be for large businesses, expanding how IoT will allow large organizations to make their legacy ap...
Fact is, enterprises have significant legacy voice infrastructure that’s costly to replace with pure IP solutions. How can we bring this analog infrastructure into our shiny new cloud applications? There are proven methods to bind both legacy voice applications and traditional PSTN audio into cloud-based applications and services at a carrier scale. Some of the most successful implementations leverage WebRTC, WebSockets, SIP and other open source technologies. In his session at @ThingsExpo, Da...