NEW YORK — Goldman Sachs, the banking industry’s perpetual winner, was this quarter’s loser.
The storied investment bank lost $428 million in the third quarter, driven by sharp drops in underwriting and trading revenue along with souring investments in stocks, bonds and other holdings. The loss, announced Tuesday and worse than analysts expected, marked just the second time Goldman has posted a quarterly loss since going public in 1999.
Rivals Bank of America and Citigroup each reported billions in net income, reinforcing this season’s reversal of fortunes. So did JPMorgan Chase. The other major Wall Street bank, Morgan Stanley, is expected to report a profit when it releases results today.
“This is the best proof the financial crisis is far from over,” said banking consultant Ken Thomas. The Associated Press
