JPMorgan Chase & Co. (JPM) Leads the Dow Through 15,000

As investors wait for second-quarter earnings season to start next week, the stock market has moved largely in tune with the latest news on the overall economy. Today’s latest figures encouraged continued optimism, with factory orders having risen at a slightly faster-than-expected pace of 2.1% in May. Still, with many companies having already given negative guidance on earnings for the just-ended quarter, investors are anxiously waiting for company-specific results to help them come up with a broader perspective on the health of the market, and that anxiety might lead to hesitation before investors decide whether the first-half rally will continue or reverse course for a while. At 10:45 a.m. EDT, the Dow Jones Industrials picked up 65 points to climb above the 15,000 mark once more. Broader markets posted similar percentage gains.

JPMorgan Chase & Co (NYSE:JPM)

The big winner of the morning was JPMorgan Chase & Co. (NYSE:JPM), which climbed more than 2% after getting a favorable analyst recommendation from Raymond James. With the bank having put its London Whale scandal behind it, favorable earnings-growth potential led the analyst to boost its earnings estimates and to increase its share-price target. Yet the more important long-term news for JPMorgan Chase & Co. (NYSE:JPM) and fellow Dow component Bank of America Corp (NYSE:BAC) is whether the Federal Reserve will vote to adopt the set of international banking capital rules known as Basel III. With the Fed reportedly looking at certain even stricter provisions as add-ons to the Basel III rules, JPMorgan Chase & Co. (NYSE:JPM) and Bank of America Corp (NYSE:BAC) could face required changes to their business models. Yet comments from late last year came largely from community bankers, suggesting that the big banks might actually be better prepared for Basel III than their smaller peers, despite the additional rules like leverage ratios that would apply only to the largest banks in the nation.

With new regulation on the horizon, many investors are terrified about investing in big banking stocks after the crash, but the sector has one notable stand-out. In a sea of mismanaged and dangerous peers, it rises above as “The Only Big Bank Built to Last.” You can uncover the top pick that Warren Buffett loves in The Motley Fool’s new report. It’s free, so click here to access it now.

Finally, auto sales are among the first economic data that come out every month, and today, both Ford Motor Company (NYSE:F) and General Motors Company (NYSE:GM) were up around 2% after posting their figures for June. General Motors Company (NYSE:GM) posted a 6.5% jump in June U.S. vehicle sales, with the company saying it was the best performance in nearly five years. Meanwhile, Ford Motor Company (NYSE:F) said light-vehicle sales in the U.S. jumped 13%, giving the automaker its best June in seven years. Ford noted that it thinks the industry’s overall performance will have its best sales rate since late 2007, and given the influence that auto manufacturing has on the overall economy, that could prove good news not just for Ford and GM, but for all of the companies that rely on the industry for their success.

The article JPMorgan Leads the Dow Through 15,000 originally appeared on Fool.com and is written by Dan Caplinger.

Fool contributor Dan Caplinger owns warrants on Bank of America and JPMorgan Chase. You can follow him on Twitter @DanCaplinger. The Motley Fool recommends Bank of America, Ford, and General Motors. The Motley Fool owns shares of Bank of America, Ford, and JPMorgan Chase.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The Top 10 States With Fastest Internet Speeds

10 Best Places to Visit in USA in August

Top 10 Cities to Visit Before You Die

Top 10 Genetically Modified Food In the US

15 Highest Grossing Movies Opening Weekend

5 Best Poker Books For Beginners

10 Strategies Hedge Funds Use to Make Huge Returns

Top 10 Fast Food Franchises to Buy

10 Best Places to Visit in Canada

Best Summer Jobs for Teachers

10 Youngest Hedge Fund Billionaires

Top 10 One Hit Wonders of the 90s

Fastest Growing Cities In America

Top 10 U.S. Cities for Freelancers

Top 9 Most Popular Free iPhone Apps

Top 10 Least Expensive Private Business Schools in the US

Top 15 Most Expensive Countries in the World – 2014

Top Businesses to Invest In

Top 5 Things You Might Be Doing Wrong With Your Business

Top 5 Strategic Technology Trends in 2014

Top Rags to Riches Stories

Parenting Behavior That Promotes Future Leaders

Top 5 Mistakes Made by Small Businesses

Top 5 Most Common and Potentially Devastating Financial Blunders

Top 5 Highest Paying Jobs for Web Designers

Top 6 Most Respected Professions that Also Pay Well

Top 5 Pitfalls Investors Should Avoid

Top 6 Lawyers and Policy Makers Under 30

Top 6 New Year’s Resolutions for Entrepreneurs

Top 7 Locations to Check in on Facebook

Top 5 Mistakes made by Rookie eBay Sellers

Top 7 eBook Publishers in 2013

Top 6 Health Industry Trends in 2014

5 Lessons for Entrepreneurs from Seth Godin

Top 5 Success Tips from Jordan Belfort – the Wolf of Wall Street

Best Master’s in Finance Degree Programs

Top 6 Earning Celebrities Over 50

The most expensive sports to play

Top 7 Earning Celebrities Under 25

Best 7 Online Courses to Take: Free Finance MOOCs

Top 6 Bad Habits that Promote Failure

20 Most Valuable Soccer Teams in the World in 2013

12 Most Expensive Countries for Foreign Students

Top 30 Most Influential Women in the World

Top 20 Most Expensive New Year Eve Shows

Top 5 Best Vocational Careers

Top 10 Jobs for 2014 by Salary Gain (Predictions)

Top 5 Digital Trends for 2014

Top 6 Things You Can Do To Increase Your Productivity

Top 9 Trending Smartphones in 2013

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!