q1 2025 as seen through the eyes of US financial stocks: JPMorgan “disruption inevitable”, BlackRock “market jitters remain”

q1 2025 as seen through the eyes of US financial stocks: JPMorgan “disruption inevitable”, BlackRock “market jitters remain”

in Q1 2025, global financial markets remain on the edge of uncertainty and disruption. a spate of earnings reports from large U.S. financial firms has exposed the market’s nervousness, with JPMorgan andBlackRock in particularremaining nervous despite strong earnings.

JPMorgan: “There’s a lot of disruption coming”

JPMorgan Chasereported Q1 revenue of $45.3 billion, up 8% year-over-year and beating market expectations by $1.8 billion. Earnings per share (EPS) surprised to $5.07, which included a one-time gain of $0.16 from the acquisition of First Republic.

net interest income (NII) came in at $23.3 billion, and the full-year outlook was revised up $500 million to $94.5 billion. In particular, equity trading revenue soared 48% year-over-year to $3.8 billion, and investment banking fees rose 12% to $2.2 billion, driving the overall results.

however, CEO Jamie Dimon warned that a combination of factors, including rising tariffs, stubborn inflation, widening fiscal deficits, and geopolitical tensions, couldlead to “significant disruption.” He added that while clients and markets remain robust, corporate clients are becoming increasingly risk-averse.

blackRock: AUM at record high…but market jitters linger

blackRock, the world’s largest asset manager, reported Q1 revenue growth of 12% to $5.3 billion, falling short of market expectations, but EPS of $11.30, beating estimates by $1.09, showing stability in earnings.

most notably, BlackRock’s total assets under management (AUM) reached a record high of $11.6 trillion, driven by $84 billion in net inflows from ETFs, fixed income, and private equity. Despite market instability and some index fund outflows , underlying fee revenue grew 6%, making it the strongest first quarter in years.

in particular, Technology Services saw a 16% year-over-year revenue increase, driven by the impact of the Preqin acquisition and increased demand for the Aladdin platform. Aladdin is BlackRock’s core technology platform that supports risk analysis and portfolio management for global institutional investors.

CEO Larry Pink noted that “market-wide anxiety and policy uncertainty are top of mind for clients,” but that demand for infrastructure and private credit remains strong. blackRock is expanding beyond asset management into technology, alternative investments, and more.

the State of Financial Markets in 2025: Signs Beyond the Numbers

The JPMorgan and BlackRock earnings announcements go beyond “good vs. bad” and speak to the complex risk environment in which we find ourselves. equity markets, bond markets, and alternative assets are all under the shadow of high liquidity versus uncertainty, and corporate earnings reflect this ambivalence.

ultimately, the U.S. financial industry’s Q1 2025 results are a “health check” for companies that have maintained solid fundamentalsamidst the turmoil, and send a message that risk management will be keyfor investors as they prepare for the second half of the year.