Some of the most valuable stocks in the market announce earnings this week…
I’m not talking about AI.
But these names are just as important.
The stock market is ballooning.
As of December 2025, 45% of American household assets are in stocks. That’s an all-time high, surpassing levels from the late 1990s, before the dot-com bust.
Increasingly, Americans feel that stock-market investments are crucial when planning for retirement.
Due to the steady decline of traditional corporate pensions, non-retired Americans rank 401k and retirement accounts as their top projected source of income for retirement.
And 89% of Americans who own a retirement plan choose to invest those funds in the stock market.
Stock-market importance is growing.
That bodes well for a very specific sector of the market. A sector that announces earnings this week…
Bank Stocks
When Americans pour money into the market, banks get paid twice.
First: on the trading floor.
Every new position runs through a bank trading desk, and those desks have never been busier.
In 2025, the big five US banks generated $134 billion in market revenue, 16% above 2024’s already astronomical levels. Globally, bank trading divisions posted their largest revenue haul ever, beating the previous 2009 record.
Goldman’s equities revenue was $16.5 billion, $3 billion more than in 2024, and Morgan Stanley’s equities business grew 28% to $15.6 billion, also a record.
And 2026 is running even hotter…
In Q2, Goldman produced $7.4 billion in equities revenue, up 72% from a year earlier, slightly more than its full-year equities result in 2019. Bank of America’s sales and trading revenue jumped 34% to a record $7.1 billion.
The second half of the equation: wealth management.
As more retirement savings flow into stocks and funds, banks collect fees on every dollar they manage.
Morgan Stanley’s net new assets in Wealth Management reached $356 billion in 2025. Last quarter, it added a record $148.4 billion in net new assets and hit its $10 trillion target in total client assets. Goldman’s assets under supervision hit a record $3.61 trillion, up $469 billion during 2025.
The result? Record profits.
In Q2, Goldman posted the best quarterly performance in its history, and JPMorgan’s profits jumped 41% year-over-year.
This week, we find out if the streak continues.
My Watchlist This Week
The schedule for the six biggest bank earnings is posted below.
They all announce data before the market opens…
Tuesday, October 13
- JPMorgan Chase & Co. (NYSE: JPM)
- Wells Fargo & Company (NYSE: WFC)
- The Goldman Sachs Group, Inc. (NYSE: GS)
- Citigroup Inc. (NYSE: C)
Wednesday, October 14
- Bank of America Corporation (NYSE: BAC)
- Morgan Stanley (NYSE: MS)
For perspective, the most volatile earnings announcement last quarter came from GS…
- Diluted EPS: Earnings Per Share (EPS) was $20.98, beating analyst estimates of around $14.47 – $14.51 per share.
- Net Revenues: Total net revenues reached $20.34 billion, surpassing expectations of roughly $16.22 billion.
- Net Earnings: Net profit rose to $6.63 billion, up roughly 78% year-over-year.
The stock shot to new all-time highs after the data posted, before pulling back and sliding lower (this would have been a perfect reversion trade).
GS posted record earnings data… but the stock fell lower.
We can’t rely on an earnings beat or an earnings miss to pick the direction of our trade. We have to pay attention to the report AND the reaction from the market.
Here’s my plan:
Once the stocks announce earnings, identify a direction. Then wait for the price to overextend.
I’ll play the pullback with popular support and resistance levels.
Always pay attention to stocks with the biggest news catalysts.
After earnings season is over… the next market wave to watch.
Stay Street Smart,
Jeff Zananiri
