Goldman Sachs's most recent trend suggests a bullish bias. One trading opportunity on Goldman Sachs is a Bull Put Spread using a strike $327.50 short put and a strike $322.50 long put offers a potential 38.89% return on risk over the next 3 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $327.50 by expiration. The full premium credit of $1.40 would be kept by the premium seller. The risk of $3.60 would be incurred if the stock dropped below the $322.50 long put strike price.
The 5-day moving average is moving up which suggests that the short-term momentum for Goldman Sachs is bullish and the probability of a rise in share price is higher if the stock starts trending.
The 20-day moving average is moving up which suggests that the medium-term momentum for Goldman Sachs is bullish.
The RSI indicator is at 35.83 level which suggests that the stock is neither overbought nor oversold at this time.
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LATEST NEWS for Goldman Sachs
Millionaire Banker Beats Economist to Take Ecuador’s Presidency
Mon, 12 Apr 2021 11:18:17 +0000
(Bloomberg) — Career banker Guillermo Lasso won Ecuador’s presidential election after a late surge in support, reassuring bondholders in the default-prone country and shoring up U.S. ties.Lasso beat out economist Andres Arauz, a left-wing protege of former president Rafael Correa, by a clear margin in Sunday’s runoff vote. Arauz, who conceded defeat, won February’s first round by 13 percentage points.Lasso, 65, a self-made millionaire and father of five, has vowed to uphold a $6.5 billion financing agreement with the International Monetary Fund and to keep up payments on the country’s overseas bonds. In his victory speech on Sunday evening, Lasso said he will work to create “the prosperity we all long for.”“Lasso’s victory should reduce political uncertainty and raise the prospects of a fairly orthodox and market-friendly macro policy agenda being pursued in coming years,” Goldman Sachs Group Inc. analyst Tiago Severo wrote in a note.Investors are likely to cheer the result at the open on Monday, especially after what Severo termed “the outperformance of leftist presidential and congressional candidates” in the first round.Lasso’s comfortable win will likely be a catalyst for bonds to rally more, according to a report by Goldman. Ecuador’s recently restructured notes rallied in recent weeks as polls showed his chances improving: Notes due in 2040 have risen from an early-March low to trade at 45.5 cents on the U.S. dollarEcuador’s southern neighbor Peru also held presidential elections on Sunday, with exit polls suggesting a messy runoff after no candidate got near the threshold needed for a first-round win.With some 99% of votes counted in Ecuador, Lasso had 52.4% to 47.6% for Arauz, whose ties to former president Correa had raised the prospect of a return to an era of fiscal largess.Why Ecuador’s Runoff Vote Matters for the Bond Market: QuickTakeThe campaign for control of Ecuador, an oil exporter and world-leading producer of bananas, shrimp and the balsa wood crucial for wind-turbine rotors, has implications beyond is borders.Arauz, 36, who pledged to use central bank reserves to pay poor families, had been expected to strengthen ties with left-leaning governments in the region including in Cuba, Mexico, Venezuela and Argentina. Lasso’s win represents more of a focus on ties with Washington, and with U.S.-aligned governments in countries such as Chile, Colombia and Brazil.Sigh of ReliefWhile bond investors may breathe a sigh of relief, Lasso won’t have an easy time running the country of 17 million people which is far behind in its vaccination campaign and reeling from the economic impact of the pandemic. Last year the dollarized economy contracted 7.8%, its worst performance since at least the 1970s.To govern successfully, Lasso will have to establish a working relationship with the National Assembly, where his backers hold just 31 of the 137 seats. He will also need to reach out to the more than 1.8 million Ecuadorians who voided their votes, including many from indigenous movements.Lasso will find it tough to implement unpopular economic policies since legislators from other parties will be reluctant to spend their political capital on his behalf, said Maria Jose Calderon, political scientist at the Pontifical Catholic University in Quito.Creating Jobs“I’m just hoping the job doesn’t end up too big for Lasso,” given his lack of a majority in the next legislature, said Maria Paz Jervis, dean of law and social studies at SEK University in Quito.The president-elect has said he’ll promote policies that boost investment and private sector job creation, and will phase out a tax on taking money out of the country. He’s also promised to boost the monthly minimum wage to $500 from $400, and oversee the vaccination of 9 million people against Covid-19 during his first 100 days in office.Even if Lasso encounters challenges in implementing his political agenda, it will be easier for him and the IMF to find a middle ground in negotiations, according to Nathalie Marshik, head of emerging-market sovereign research at Stifel Nicolaus & Co. in New York. She expects a big rebound for Ecuador’s bonds.“There will a lot more buyers than sellers,” Marshik said.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Didi Chuxing Has Filed Confidentially for U.S. IPO
Mon, 12 Apr 2021 01:45:19 +0000
(Bloomberg) — Asia’s top ride-hailing startups are pushing ahead with listing plans, as they seek to take advantage of a boom in equity offerings to fund expansion in everything from food delivery to autonomous driving.Beijing-based Didi Chuxing has filed confidentially with the U.S. Securities and Exchange Commission for an initial public offering that could raise several billion dollars, according to people with knowledge of the matter. Its Southeast Asian peer Grab Holdings Inc. aims to announce a merger with a blank-check company in the U.S. as soon as this week in a deal valued at more than $34 billion, the people said.These listings pave the way for some of the largest tech debuts globally this year as demand for ride services and ride-sharing jumped after pandemic-induced disruptions in Asia. Didi and Grab are also capitalizing on a rebound in tech stocks as the Nasdaq Composite Index is again charging toward an all-time high.Didi has tapped Goldman Sachs Group Inc. and Morgan Stanley as underwriters for its U.S. listing which could value the company at as much as $70 billion to $100 billion, the people said, asking not to be identified because the information is private. It is raising $1.5 billion through a revolving loan facility to shore up capital ahead of the share sale, Bloomberg News reported last week.The startup is also exploring a potential dual listing in Hong Kong at a later time, one of the people added.Didi, the Chinese version of Uber Technologies Inc., acquired its U.S. rival’s China business in 2016. The SoftBank Group Corp.-backed company is stepping up efforts to grow its presence in strategically important sectors like autonomous driving and technologies like artificial intelligence chips. It has also just raised about $1.5 billion for its on-demand trucking unit earlier this year, Bloomberg News has reported.Separately, Singapore-based Grab has attracted backing from T. Rowe Price Group Inc. and Temasek Holdings Pte for its planned merger with Altimeter Growth Corp., the people said. The firms have expressed interest in joining a private investment in public equity offering, or PIPE, to support Grab’s combination with the blank-check company, the people said. BlackRock Inc. is also in talks to participate in the PIPE, which could raise about $4 billion, they added.At a valuation of more than $34 billion, Grab’s deal could become the biggest SPAC merger ever, according to data complied by Bloomberg, and would see the startup become one of the first Southeast Asian unicorns to go public through a blank-check company.Read more: Grab’s $34 Billion SPAC Deal Puts Southeast Asia Tech on the MapDidi and Grab are set to test investor appetite for the capital-intensive ride-hailing business. Uber, which raised $8.1 billion in an IPO in 2019, saw its share dive in March 2020 as the pandemic led to lockdowns in major cities globally. The stock has since quadrupled and even reached a new high in February this year.Details of Didi and Grab’s listings could still change as deliberations continue, the people said. Representatives for Didi, Grab, Goldman Sachs and Morgan Stanley declined to comment.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Bank earnings, retail sales: What to know this week
Sun, 11 Apr 2021 16:20:17 +0000
A deluge of corporate earnings results and economic data due for release this week will test investors after the stock market's latest record-setting rally.
Goldman Sachs Had a Strong Pandemic. But There’s Still Room to Run.
Fri, 09 Apr 2021 20:37:00 +0000
The big Wall Street bank fed off of strong trading and deal-making. Those traditional strengths continue as the pandemic nears its end.
Goldman Channels Cathie Wood Playbook in Active Thematic ETF Bid
Fri, 09 Apr 2021 13:02:01 +0000
(Bloomberg) — One of Wall Street’s most storied names is joining the mania for actively managed thematic ETFs sparked by Cathie Wood.Goldman Sachs Group Inc. plans to create the Future Consumer Equity exchange-traded fund, the bank said in a filing Thursday. It will focus on technology companies and firms that embrace the “lifestyle and values” of younger consumers such as sustainable living, health and wellness.While this isn’t Goldman’s first foray into thematic investing, it does appear to be its first actively managed equity ETF. Theme-based products are a booming corner of the $6.1 trillion U.S. industry, with Wood’s Ark Investment Management inspiring copycat ETFs that eschew traditional sectors in favor of futuristic trends like space travel and robotics.“Given the success of Ark in the past year, many asset managers are seeking to tap into growing investor demand for actively managed equity ETFs using in-house expertise,” said Todd Rosenbluth, director of ETF research for CFRA Research.Even as retail traders look to be cooling toward the stock market, a recent survey shows that 80% of global ETF investors plan on increasing their exposure to thematic products this year.Goldman’s proposed fund, which doesn’t have an expense ratio yet, will invest in companies that cater to the “evolving priorities and spending habits of younger consumers,” according to the filing. The prospectus warns that the ETF may invest more of its cash in fewer companies than a traditional diversified fund might.The U.S. bank has struggled to hit on a winning thematic product in the past. In November, it combined five such ETFs that had failed to gain much traction into the Goldman Sachs Innovate Equity fund (ticker GINN), which has $457 million in assets.Meanwhile, the theme of next-generation consumers is fairly well-established. Global X’s Millennial Consumer fund (MILN) has gathered $177 million in assets since its 2016 launch, for example.Still, the New York-based bank has notched some ETF victories. The ActiveBeta U.S. Large Cap Equity fund (GSLC) — a smart beta product that undercut the competition with its 9 basis point fee — holds $12.6 billion.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
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