How Are Deposits At The Largest U.S. Banks Trending?

-4.75%
Downside
200
Market
191
Trefis
JPM: JP Morgan Chase logo
JPM
JP Morgan Chase

Total deposits for the five largest U.S. banks have seen a notable improvement over the last two quarters. While deposits for most of the banks have largely grown over the last five quarters, JPMorgan stands out among these banks, as it reported a reduction in its deposit base over Q2-Q3 2015.

CB_QA_DepositGrowth_16Q1

Deposits across U.S. commercial banks have grown sharply since 2010 due to the prevailing low interest rate environment since the economic downturn. This is because the resulting lack of lucrative investment options forced investors to shift a bulk of their liquid assets into interest-bearing deposits.

Relevant Articles
  1. Up 38% Since The Start Of 2023, What Is Next For JPMorgan Stock?
  2. Up 6% In The Last Six months, What’s Next For JPMorgan Stock?
  3. JPMorgan Stock Topped The Consensus In Q2
  4. What To Expect From JPMorgan Stock?
  5. What To Expect From JPMorgan Stock In Q1?
  6. Is JPMorgan Stock Fairly Priced?

But with the Fed beginning the rate hike process last December, the interest rate environment is showing signs of improvement. This will open up better investment options for individuals as well as institutions – drastically reducing the deposit growth rate over coming quarters.

See the links below for more information about the 5 largest U.S. commercial banks:

Notes:
1) The purpose of these analyses is to help readers focus on a few important things. We hope such lean communication sparks thinking, and encourages readers to comment/ ask questions on the comment section
2) Figures mentioned are approximate values to help our readers remember the key concepts more intuitively. For precise figures, please refer to the full Trefis analysis for U.S. Bancorp | Wells Fargo | JPMorganBank of America | Citigroup

View Interactive Institutional Research (Powered by Trefis):
Global Large CapU.S. Mid & Small CapEuropean Large & Mid Cap
More Trefis Research