Goldman under pressure, but cost cuts on track

$1 bill Cut by Scissors

Goldman Sachs reported a higher second-quarter profit on Tuesday, as it benefited from a sharp decline in expenses and more activity in some parts of the fixed-income markets, but most of its businesses came under pressure.

Reuters reports that in response to a "challenging backdrop" for revenue, the Wall Street bank embarked on a cost-cutting plan in the first half of the year that will save $700m a year, Chief Financial Officer Harvey Schwartz said on a conference call.

The Wall Street bank's profit rose 78%, easily beating subdued analyst expectations, with higher revenue in fixed income, currency and commodities trading, as well as debt underwriting, compared with a year ago.

But overall revenue declined 13% as all of its other businesses reported weaker results. Goldman's profit was buoyed by cost cuts and the fact that it had a large legal provision in the second quarter of 2015.

To access the complete Reuters article hit the link below:

Goldman details cost savings plan after 'challenging' quarter

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