Wall Street investment banks to betray each other also worsening credit crisis

Wall Street is a farce: is the subprime mortgage crisis hurt discredited the major investment banks, but in the past few days have been busy with the "undo". Goldman Sachs has just released a report on this side announced a cut of Morgan Stanley, Lehman, Merrill Lynch and Citigroup's performance expectations, on the other side of Citigroup and Lehman were soon "a tooth for a tooth", declared not optimistic about the prospects of Goldman Sachs.

(http://finance.) In accordance with established practice, the Wall Street investment bank research department independent of the company's business operations. However, the analyst also noted that, similar to betray one another, from one side to reflect the credit crisis on the financial industry's impact on further deterioration.

Investment bank Goldman Sachs report Tuesday publication, announced a substantial downturn on Bank and brokerage stocks of profits expected, and that future financial industry also appear more and mortgage business related input and loss situation has not improved.

Goldman Sachs on Lehman Outlook particularly pessimistic, the latter is Wall Street's four major investment banks in the smallest of the family. Goldman Sachs, Lehman Brothers is expected in 2008, the loss per share of nearly US $ 10, a previously expected losses over $ 7.50. In addition to Lehman, Goldman Sachs has also sharply on Moldova, JP Morgan and Citigroup's earnings per share is expected, and it is expected that there will be a meilindi Q3 loss per share was $ 4.75. Goldman Sachs also recommends investors buy Morgan Stanley, sell Citigroup.

Interestingly, a day after 20 days, Lehman for Goldman Sachs report on the move. Lehman's analysts said, because the environment in the doldrums, and further down assets may make profit shrink, which fell sharply on Goldman and big mo's earnings estimates. Lehman to Morgan Stanley third quarter earnings per share decreased by $ 1.13 estimated to 75 cents, and Goldman Sachs earnings per share from $ 3.77 cut to $ 1.70 jerk. Lehman will Goldman Sachs 2008 full-year earnings per share from $ 16.81 estimated to us $ 14.42 lowered.

By Goldman Sachs "slander" another great line — Citibank, have quickly implemented a "fighting back". In 21 of the report, Citi, Goldman Sachs slashed profits expected, and a substantial increase in the third quarter on Lehman loss estimates. Citigroup analyst said, it is expected that Lehman, Goldman Sachs and Morgan Stanley will be accumulated in the third quarter of current assets of $ 64. Citigroup will Goldman earnings per share decreased by $ 4.50 estimated $ 2.50, and it is expected that the latter relates to the third quarter will be 18 billion in assets.

This seems to betray one another, the view was expressed that this was precisely reflect current financial sector profitability prospects of great uncertainty. Like Goldman Sachs analyst Tanoh na, believe that the market would also like to several quarters of the time only appears if the row mass recovery is expected in the next few quarters the entire financial industry also appears more assets sold and the canton. Goldman noted that recent residential and commercial mortgage-backed securities losses, worsening the situation.