David Solomon, Chairman and CEO of Goldman Sachs, speaks on CNBC's Squawk Box at the World Economic Forum's annual meeting in Davos, Switzerland, on January 17, 2024.
Adam Galese | CNBC
Goldman Sachs It is scheduled to report third-quarter earnings before the opening bell on Tuesday.
Here's what Wall Street expects:
Earnings: $6.89 per share, according to LSEG Revenue: $11.8 billion, according to LSEG Trading revenue: Fixed income of $2.91 billion, stocks worth $2.96 billion, per StreetAccountInvesting Banking revenue: $1.62 billion, per StreetAccountAsset & Wealth Management : $3.58 billion, per StreetAccount
How much will lower interest rates help Goldman Sachs?
Over the past two years, the Fed's tightening campaign has created a less-than-ideal environment for investment banks like Goldman.
Now that the Fed is cutting interest rates, it puts Goldman in a position to benefit as companies that have waited on the sidelines to acquire competitors or raise money begin to take action.
Goldman's Asset and Wealth Management division is also positioned to benefit from rising asset values across markets as interest rates fall.
Last week, a competitor JPMorgan Chase Setting high expectations with better-than-expected results from trading and investment banking, factors that helped the bank achieve higher earnings estimates.
Wells Fargo It also beat estimates on Friday on the back of its investment banking division.
This story is evolving. Please check back for updates.
