JPMorgan Chase stock falls 4.8% on third-quarter profit drop

Shares of JPMorgan Chase & Co., the second-largest U.S. bank by assets, fell 4.8% after the company reported that profit declined on a slump in investment banking and trading.

Shares dropped $1.60 to $31.60 on Thursday after the bank reported that third-quarter earnings fell to about $3.1 billion, or 73 cents a share, not including a 29-cent accounting gain, from $4.71 billion a year earlier.

Revenue at the investment-banking unit slid 13% from the second quarter as concern that Greece would default and U.S. lawmakers would fail to raise the debt ceiling roiled markets. The firm said the division would face similar market conditions for the rest of the year.

Net income was $4.26 billion, or $1.02 a share, compared with the average per-share estimate for adjusted earnings of 92 cents in a survey of analysts by Bloomberg.

Revenue declined 0.2% to $23.8 billion.

JPMorgan was the first of the major U.S. lenders to report third-quarter results.