4min chapter

The Macro Trading Floor cover image

Here Is Why Markets Are Rallying

The Macro Trading Floor

CHAPTER

The Advantages of Being a Systemic Bank

It is tough to find a bank which is better equipped to deal with an inverted yield curve and tighter monetary policy than JP Morgan. They are almost mechanically on the receiving end of inflows of deposits in a situation like the current. Jamie Diamond has helped out re-depositing money to first republic bank, for example. So I'm actually not too surprised that JP Morgan is fairing well. We've pushed the idea that you should be long large cap banks relative to small cap banks throughout March.

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