Goldman Sachs profit hit by weak bond trading

[BENGALURU] Goldman Sachs Group Inc reported a drop in profit for the second straight quarter as market turmoil stemming from concerns about global growth discouraged bond trading and added to uncertainty about the timing of a US interest rate hike.

The Wall Street bank said its net income applicable to common shareholders fell to US$1.33 billion, or US$2.90 per share, in the third quarter ended Sept 30, from US$2.14 billion, or US$4.57 per share, a year earlier. Analysts on average had expected earnings of US$2.91 per share, according to Thomson Reuters. It was not immediately clear if the reported figures were comparable.

Goldman said revenue from fixed-income, currency and commodity trading (FICC) fell 33 per cent to US$1.46 billion. Excluding adjustments, revenue would have fallen 27 per cent.

REUTERS