Tuesday's Market Minute: Banks, Airlines & Apple

Earnings season is back, marked by the big banks reporting third-quarter financial results this week. Citigroup Inc (NYSE: C) and JPMorgan Chase & Co. (NYSE: JPM) were the first out of the gate Tuesday morning, and shares of both companies were moving higher in the premarket. JPM reports Q3 EPS of $2.92 versus $2.23 consensus, and revenues of $29.1B, including managed revenue of $29.9B, versus consensus of $28.3B. Citi reports EPS of $1.40 versus $0.92 consensus, and revenue of $17.3B versus $17.2B consensus.

JPM saw its net revenue fall by two-tenths of a percent compared to the same quarter last year, and the bank’s provision for credit losses nearly halved, falling to $611.0M from last year’s $1.51B. JPM’s return on equity (ROE) remained unchanged at 15.0%. Citi’s total revenue fell by 6.8% Y/Y, and its provisions for credit losses increased to $2.26B, up from $2.09B last year. Citi’s ROE fell to 6.7% from 10.4% last year.

Later this week, we’ll also see earnings from Bank of America Corp (NYSE: BAC), Goldman Sachs Group Inc (NYSE: GS) and Wells Fargo & Co (NYSE: WFC). In addition to banks, airlines are also set to report. Delta Air Lines, Inc. (NYSE: DAL) comes out Tuesday morning, and earnings from United Airlines Holdings Inc (NASDAQ: UAL) are expected on Wednesday after markets close.

What else to watch today: Apple’s event begins at 1pm ET. The tech giant is expected to reveal its iPhone 12 series with 5G capabilities. Ahead of the event, shares of AAPL gained 6.4% in Monday’s trading session, its biggest one-day gain since July 31. Additionally, Amazon Prime Day and Target Deal Days started Tuesday and both run through tomorrow.

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