Bank Stocks Mixed. Wells Fargo up 5%; Citigroup up 1%; Goldman Sachs down 2.5%; JPM down 1.8%

Bank stocks mixed after earnings results. Wells Fargo up 5%; Citigroup up 1%; Goldman Sachs down 2.5%; JPM down 1.8%

Wells Fargo on Tuesday beat Wall Street estimates for third-quarter profit and raised its closely watched profitability target after regulators removed an asset cap imposed on the bank, paving the way for it to pursue growth.

The U.S. Federal Reserve lifted the lender's seven-year, $1.95 trillion asset cap in June, in a major landmark in its post-scandal recovery and freeing it to accelerate CEO Charlie Scharf's efforts to drive growth.

Citigroup reported a rise in third-quarter profit, as all its divisions brought in record revenue.

Citi and its competitors benefited from a resurgence in activity in the third quarter as companies struck megadeals, despite uncertainty over U.S. President Donald Trump's tariff policies.

Net income in the reported quarter climbed 16% to $3.8 billion for Citi, compared with a year earlier, while earnings per share jumped 23% to $1.86.

JPMorgan Chase's profit rose in the third quarter, fueled by multi-billion dollar deals and IPOs that boosted its investment bank, along with stronger trading performance.

Goldman Sachs' quarterly profit jumped more than 37% on Tuesday as its investment bankers earned higher advisory fees and traders capitalized on active markets.