Four of Wall Street’s biggest banks report third-quarter results before the opening bell on Tuesday, and options traders are bracing for moves of roughly 3.7% to 5% in their stocks, according to Benzinga. But analysts do not agree on what the banks will earn. Estimates for Goldman Sachs alone range from $12.44 to $14.84 per share, a gap of about 19% by our calculation, which means whether Goldman “beats” may depend on which benchmark you use. This follows our earlier preview of the big banks' third-quarter earnings, which covered the consensus numbers and the yield backdrop. Analysts Don’t Agree on Goldman LSEG consensus puts third-quarter earnings at $5.94 per share for JPMorgan, $12.44 for Goldman Sachs, $2.41 for Citigroup and $1.85 for Wells Fargo, according to Mitrade. Other trackers are higher for some banks. Fiscal.ai data cited by Stocktwits show $14.84 for Goldman on revenue of $17.92 billion, $2.69 for Citi on $23.5 billion, and $5.95 for JPMorgan on $51.16 billion. Tra...
Last week, a weak jobs report sent the odds of an October rate hike tumbling. On Wednesday, the Federal Reserve released the minutes of its September meeting, and they carry a different message: the Fed isn't done raising rates, even if it isn't in a hurry. Here is what the minutes actually say, and what they don't. What the Minutes Said The minutes cover the Fed's September 15-16 meeting, where it raised its benchmark rate by a quarter point to a range of 3.75% to 4.00%, its first hike in more than two years. According to CNBC and AFP, the vote was unanimous. Bloomberg reported that all 19 officials who took part backed the decision, many of them to guard against the risk of intensifying inflation pressures. The key line for markets: most participants judged that another increase would likely be appropriate by year-end, per the minutes as reported by AFP. Several officials also said the previous policy rate had not been restrictive enough to slow economic activity. ...