As Goldman Goes, So Goes The Market (GS)

Goldman Sachs Group, Inc. GS is now negative, down fractionally, despite starting the session higher after reporting better than expected earnings. The New York based investment bank reported earnings of of $1.56 per share on revenues of $11.9 billion. This was materially better than expected, as Wall Street expected earnings of 81 cents per share on revenues of $10.18 billion. “Looking ahead, we continue to see encouraging indications for economic activity globally,” CEO Lloyd Blankfein said in the statement. If Goldman Sachs continues to weaken throughout the day, this could pull down the other banks, such as J.P. Morgan JPM, Morgan Stanley MS and others. If that's the case, we could see a sell off in equities throughout the day, despite the better than expected results.