JPMorgan’s net income soared 50% to more than $14 billion in the fourth quarter as the bank’s profit and revenue easily beat Wall Street forecasts, and other major banks reported banner earnings for the year.

JPMorgan's strong results bode well for the banking sector, which is seeing a revival in dealmaking and fundraising activities as the U.S. Federal Reserve cuts interest rates to bolster the economy. Goldman Sachs' profit also jumped after a bumper quarter for its investment bankers and traders.

The bank said profit rose 50% to $14 billion in the fourth quarter as noninterest expenses fell 7% from a year earlier.