\u201cResilient\u201d is the word of the moment on Wall Street.<\/p>\n\n\n\n
JPMorgan Chase, Citigroup and Wells Fargo all reported their quarterly earnings Tuesday, and their CEOs all landed independently on the word \u201cresilient\u201d to describe the U.S. economy and its consumers.<\/p>\n\n\n\n
\u201cWhile there have been some signs of a softening, particularly in job growth, the U.S. economy generally remained resilient,\u201d JPMorgan CEO Jamie Dimon said in a statement. Wells Fargo CEO Charlie Scharf said in a news release, \u201cWhile some economic uncertainty remains, the U.S. economy has been resilient and the financial health of our clients and customers remains strong.\u201d And Citigroup\u2019s CEO, Jane Fraser, said that the global economy has \u201cproved more resilient than many anticipated\u201d and that \u201cAmerica\u2019s economic engine is indeed still humming.\u201d<\/p>\n\n\n\n
The numbers back them up, to a point. The most recent quarterly gross domestic product data showed the U.S. economy expanding at a faster pace in the second quarter than had been previously expected.<\/p>\n\n\n\n
Still, President Donald Trump\u2019s global trade policies continue to fuel uncertainty as tariffs increasingly weigh on consumers. Trillion-dollar company valuations driven in large part by artificial intelligence raise questions about how long the markets\u2019 record run can continue. Jobs growth has weakened substantially, too.<\/p>\n\n\n\n
U.S. stock indexes ended mostly lower Tuesday, with the Nasdaq falling 0.8% and the S&P 500 ending about flat. The 30-stock Dow closed up 200 points. The mixed session followed a dramatic couple of days on Wall Street, during which stocks fell sharply Friday after Trump threatened 100% tariffs on China \u2014 only to recover some of those losses Monday.<\/p>\n\n\n\n
\u201cThere continues to be a heightened degree of uncertainty stemming from complex geopolitical conditions, tariffs and trade uncertainty, elevated asset prices and the risk of sticky inflation,\u201d said Dimon of JPMorgan.<\/p>\n\n\n\n
The jobs market is rapidly cooling, as well, according to government and private data. Payroll processor ADP\u2019s most recent monthly report showed that private employers shed 32,000 jobs in September.<\/p>\n\n\n\n
The official government jobs report for the month has been held up by the government shutdown. Before the shutdown, the August jobs report from the Bureau of Labor Statistics showed that employers added just 22,000 jobs for the month. It also revised data to show there was a net loss of jobs in June.<\/p>\n\n\n\n
\u201cIt\u2019s pretty easy to imagine a world where the labor market deteriorates from here,\u201d JPMorgan’s financial chief, Jeremy Barnum, said on the bank\u2019s conference call.<\/p>\n\n\n\n
\u201cThe fact that things are fine now doesn\u2019t mean they\u2019re guaranteed to be great forever,\u201d he added.<\/p>\n\n\n\n
Despite the dark clouds on the jobs horizon, Barnum said consumers are still \u2014 there\u2019s that word again \u2014 \u201cresilient,\u201d noting strong spending and lighter-than-expected delinquency rates.<\/p>\n\n\n\n
Scharf said Wells Fargo saw spending on debit and credit cards continuing to increase alongside growth in new auto loans.<\/p>\n\n\n\n
\u201cThe performance of the consumer is just very, very consistent,\u201d he said on Wells Fargo\u2019s earnings call, adding that he didn\u2019t see \u201cany real pockets of slowing.\u201d<\/p>\n\n\n\n
At Citigroup, Fraser noted what she called \u201cpockets of valuation frothiness\u201d in the market and warned that growth may be \u201ccooling somewhat.\u201d<\/p>\n\n\n\n
Still, she said, the United States \u201ccontinues to be a pacesetter, driven by consistent consumer spending as well as tech investments in AI and data centers.\u201d<\/p>\n\n\n\n