The Banking and Strategy Initiative

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Bank Earnings Season: Goldman Sachs coming sunny side up, but JP Morgan’s first in the chase..


Here it is. The epitome of preparing and developing markets and winning over Wall Street in sum toto. Both Wall Street Banks will be the first to present results for the full year 2012 and are scheduled on the same day. As Charlie tells us ( and I don’t like him to spoil my morning on Bloomberg) even his morning show is going to be trammeled by Bank earnings hoopla for a change with JP Morgan at 7 am looking for a near miss on the $100 bln topline and a $20 B quarter and a likely bigger beat by Goldman Sachs when it reports at 7:30 ET with a likely $4/20-$5 EPS one feels though the consensus is under $4 , the street not wanting to go over even as the Bank was able to minimise the hurt from empty trading rooms fully in 2012 and a dull 2012 would not have been bad for those who were expecting to be bad, Q4 already having started a better terra firma established in renewals in Structured credit and other High Yield and Munis to boot as they prepare for a great 2013.


The Wells Fargo story was centerstage inthe mortgage recovery ofcourse with Chase paying more damages to regulators and today’s big disclosures about personally docking Jamie Dimon as the eHead of the CIO’s Department and Portfolio of inevstments with the report forming a basis for a UK FSA investigation and a big ZERO in bonuses for Jamie Dimon who recorded a $21 mln compensation before announcing the CIO’s whaling in May and posting the losses in Q1 that have likely stopped the bank from scoring a big beat over $100bln on the Topline.  Chase retail is also woefully behind on mortgage originations but the overall package with JP Morgan is definitely much more classier and growth friendly than the new biggest bank at Wells Fargo


English: Logo of The Goldman Sachs Group, Inc....

English: Logo of The Goldman Sachs Group, Inc. Category:Goldman Sachs (Photo credit: Wikipedia)

Happy waiting.




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This entry was posted on January 16, 2013 by in Financial Markets.


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