Goldman Sachs raises US bank sector to attractive

Discussion in 'Stocks' started by ASusilovic, May 6, 2009.

  1. NEW YORK (MarketWatch) -- Goldman Sachs analysts on Wednesday upgraded their debt rating for the U.S. banking sector to attractive from neutral.

    "Supply of non-guaranteed debt is increasing from many of the stronger banking groups. Though this could also put short-term pressure on secondary spreads, we believe that there is demand for senior paper from investors, which we view as a positive development for the sector on an intermediate-term basis," the analysts said. They raised their ratings for Bank of America debt to outperform from in-line, and boosted their take on Capital One to outperform.

    They trimmed their view on Morgan Stanley to in-line from outperform, "as it has tightened relative to peers in recent months. We remain comfortable with the company's fundamentals, but think that spreads now offer only fair value compared with peers."}&dist=TQP_Mod_mktwN
  2. Better lighten up, you know they are.
  3. Historically, you will be better off doing your own due diligence and ignoring Goldman. They are the absolute worst. Abbey was in the media recently...........better watch out.

    No one can get in your back pocket any better than them.
  4. If Goldman unloads positions it raises usually "sectors"...
  5. It could trigger a "stampede" of upgrades from other firms. :cool: