JPMorgan Chase (JPM) disclosed a $400M credit reserve build tied to its commercial real estate book, concentrated in office exposure across major US metros. CFO Jeremy Barnum said on the investor call that office delinquencies are 'trending unfavorably' and that the bank is stress-testing a downside scenario in which vacancy rates exceed 25% in secondary cities.
The provisions weighed on an otherwise solid quarter that saw trading revenue up 8% year over year. Shares slipped 1.3%.
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| Ticker | Action | Entry | Exit | P&L | Date | |
|---|---|---|---|---|---|---|
| JPM | buy | $191.20 | $187.40 | −$304 | Mar 19, 2025 | Mean Reversion — US Large Cap |