(CercleFinance.com) – The New York Stock Exchange should open slightly lower on Tuesday morning, with the disappointing quarterly results published by Goldman Sachs weighing particularly heavily on the trend.
Half an hour before the opening, the ‘futures’ contracts on the major New York indices fell from 0.3% to 0.4%, announcing a start to the session in the red.
Goldman Sachs announced this morning that it had recorded a 48% fall in its profit in the fourth quarter, the American firm having suffered in particular from depressed activity in trades linked to investment banking.
Over the last three months of the year, the establishment’s profit reached 1.3 billion dollars, or 3.32 dollars per share, against 3.9 billion, or 10.81 dollars, a year earlier.
For comparison, financial analysts were anticipating EPS of $5.50.
Following this worse-than-expected publication, investors should resign themselves to taking some profits following the New Year’s rally, which was characterized by two consecutive weeks of increases.
The figures below forecasts from Goldman Sachs take precedence over the better received results from Morgan Stanley, which carry the title of ka investment bank up more than 3% in pre-market quotations.
Morgan Stanley unveiled net profit down nearly 40% to $2.24 billion for the last three months of 2022, or EPS of $1.26, against a consensus of $1.19.
Another subject encouraging profit-taking, the only notable economic indicator of the day, the New York Fed’s Empire State index, was down 22 points to -32.9.
This decline is likely to call into question the ideal scenario of a ‘soft landing’ for the economy favored by investors, namely a slowdown in growth without falling back into recession.
Copyright (c) 2023 CercleFinance.com. All rights reserved.