BATTEN DOWN THE HATCHES!
So the clowns over at Citigroup had another underwhelming performance? What else is new? Brian Moynihan still look like his favorite Irish setter was just flattened by an asphalt roller? Yawn. JPMorgan Chase still being held upside-down by the Justice Department until all of its profits (and then some) fall out? Unfortunate, but not unexpected.
Goldman Sachs taking a 7.1% drop on fixed-income, currency and commodity trading? Now it’s fucking serious.
Goldman reported that revenue from its large fixed income, currencies and commodities, or “FICC,” trading arm, fell 29% in the fourth quarter from a year ago to $1.22 billion amid what it characterized as difficult market making conditions in credit products, interest rate products and mortgages. The firm said the drop was 19%, when stripping out a gain of $21 million on the sale of a stake in its European insurance business in the year-ago quarter.
“These are really bad” trading results, UBS AG analyst Brennan Hawken said of Goldman’s fixed-income division.