The Q2 earnings season is off to a positive start, with 38 S&P 500 companies reporting an 8.3% increase in earnings and 4.8% higher revenues. Finance sector companies have seen a 13.2% earnings growth and 3.4% revenue increase, with all companies beating EPS estimates and 84.6% beating revenue estimates.

Results from big banks like JPMorgan, Bank of America, and Citigroup have exceeded expectations, with strong trading and investment banking revenues. While Bank of America and Wells Fargo fell short on net interest income, Citigroup saw a 12% increase. Positive management commentary hints at future growth.

Trading revenues were up across the board for banks like JPMorgan, Bank of America, and Goldman Sachs, benefiting from market volatility. Investment banking revenues also saw gains, with Citigroup leading the way with a 15% increase. Expectations for Q3 earnings are optimistic, with potential for further growth.

The Q2 earnings growth expectation for the S&P 500 index has risen to 5.7%, with a 4.2% increase in revenues. Market rebound from post-tariff lows has been strong, with management teams expressing confidence despite tariff uncertainties. The positive bank results have contributed to a more optimistic outlook for future earnings.

Read more at Nasdaq: Q2 Earnings Season Kicks Off Positively: A Closer Look