© Reuters.
Investing.com – Earnings reports were released from several US companies and institutions today, with Bank of America (NYSE:) and Goldman Sachs (NYSE:) earnings in particular in the spotlight.
To find out the details of Goldman Sachs earnings:
Statements of the heads of major banks
Goldman Sachs failed to deliver a positive earnings report for the first quarter. However, the bank’s president, David Solomon, said negative volatility in the banking sector is now behind us, but warned of greater risks of credit constraints as a result of the Silicon Valley crisis.
On the other hand, the CEO of Bank of America said that all evidence indicates that the United States is on its way to a quiet recession this year, stressing at the same time that the indicators indicate a decline and decline in inflation.
Bostick, a member of the US Federal Reserve, said in statements to CNBC that he expects to raise interest rates for one time, justifying this with the presence of economic momentum facilitating this, and he still sees that inflation is still very high.
Bostick explained that he believes that the Fed should raise interest rates to 5.25% and then keep them without reducing or raising them again.
Bostick predicted that when interest rates are kept at 5.25%, inflation will take a while before falling towards the 2% target.
Bostick excluded expectations of a recession from his future forecasts, as was the case with Federal Reserve member James Bullard, who called a while ago to raise interest rates by 50 basis points.
Bostick believes that the economy must witness a slowdown in order to help inflation to decline effectively and truly.
Regarding the banking sector, Bostick confirmed that the banking sector appears strong and stable, and the previous crisis is being considered.
Bostick also commented on the issue of the US debt ceiling saying that the turmoil surrounding this issue is negative for the economy.
To remarks by James Pollard:
markets now
After strongly reducing its profits, it managed to rise again to $2022.75 an ounce, up by 0.79% for futures contracts. Spot contracts also rose by 0.77% to $2010.54 an ounce.
While the American dollar fell to 101.460 against a basket of foreign currencies, down by 0.33%, and on the other hand, it was pushed back by 0.37%, coinciding with statements from the Central Bank of the need to raise interest rates in May. Goldman Sachs also raised the peak rate in Europe to 3.75% from 3.50%.
