US stocks have broken a six-day losing streak, helped by better-than-feared JPMorgan Chase results that bared a $US5.8 billion ($A5.7 billion) loss on its bungled London derivatives trading operation.
At the close on Friday the Dow Jones Industrial Average was up 203.82 points (1.62 per cent) to 12,777.09.
The S&P 500-stock index added 22.02 (1.65 per cent) to 1356.78, while the tech-rich Nasdaq gained 42.28 (1.48 per cent) to 2908.47.
Stocks got a boost from expectations that Beijing will take more action to stimulate its economy after reporting growth had slowed to 7.6 per cent in the second quarter, less than expectations.
JPMorgan shares rocketed 5.8 per cent to $US36.02. The bank managed a $US5 billion second-quarter profit even after accounting for $US4.4 billion in losses during the quarter from its disastrous "London Whale" derivatives hedging operation in April, more than double the previous $US2 billion estimate.
But the figures looked good next to the $US9 billion in losses media reports had suggested in recent weeks.
"The losses do seem under control," said Jim Sinegal at Morningstar.
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