JPMorgan Chase kicked off the earnings season with disappointing results, missing estimates on both revenue and earnings. The bank cited weaker fixed income trading revenue and higher expenses as key factors. CEO Jamie Dimon noted that trading and investment banking activity moderated somewhat in its Wall Street unit. JPMorgan shares initially dropped over 3% in premarket trading but recovered slightly after the bank raised its net interest income guidance for 2026.
In contrast, Goldman Sachs reported a significant revenue beat, driven by a 72% surge in equities trading revenue. The bank also achieved a record $1.65 billion in advisory revenue, pushing its shares up over 3.5% before the bell. Meanwhile, Wells Fargo beat earnings expectations but fell short on revenue, with CEO Charlie Scharf highlighting consumer resilience despite economic challenges.
Delta Air Lines postponed the launch of its nonstop service between Atlanta and Riyadh due to recent attacks on the Saudi capital's airport. The route, originally set to begin later this month, will now start in March. Delta CEO Ed Bastian emphasized that safety would dictate the decision. The airport remains closed after strikes claimed by Yemen's Iran-backed Houthis resulted in casualties.
Meta introduced Muse Wonder, its most advanced AI model for digital assistants, available for a minimum subscription fee of $20 per month. The model aims to enhance both personal and professional agents and includes Meta's strongest safeguards against cyber misuse. The move reflects Meta's broader strategy to diversify revenue beyond its core ad business.
McDonald's is focusing on chicken and drinks to compete with rivals like Chick-fil-A, 7 Brew, and Starbucks. Data shows these brands are gaining market share among McDonald's customers. Separately, Starbucks denied rumors of acquiring Chipotle, causing Chipotle's shares to drop nearly 4% on Monday.