Goldman Sachs Q2 Profit Surges on Trading Gains

Goldman Sachs reported a 22% surge in second-quarter profit to $3.7 billion, surpassing expectations with earnings per share of $10.91 and $14.58 billion in revenue. The bank achieved record equities trading revenues, up 36% to $4.3 billion, and saw investment banking fees jump 26%, reflecting a rebound in deal activity amid market volatility. Asset and wealth management revenues declined 3% year-over-year, though client assets reached a record high. CEO David Solomon attributed the strong results to robust client activity, strategic refocusing on core corporate clients, and effective risk management in a challenging macroeconomic environment. Goldman’s stock has risen over 20% year-to-date, outperforming the S&P 500, and the firm will raise its dividend after passing the Federal Reserve stress test. The results align with strong trading profits reported by other major Wall Street banks such as JPMorgan and Citigroup.