Goldman’s Commodity Revenue Drops 75% to Lowest on Record
- Weak result put bank behind long-time rival Morgan Stanley
- But had good start to 2018 in commodities on U.S. cold spell
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Goldman Sachs Group Inc. suffered the worst annual commodities performance in its history as a public company as a drop of about 75 percent in net revenue in 2017 put it behind long-time rival Morgan Stanley, according to people familiar with the matter.
For decades Wall Street’s dominant commodities trader, Goldman performance was dragged down by losses in gas and power. The slump means the bank’s storied natural resources unit fell behind competitors such as Morgan Stanley, where net revenue in the sector rose by about a fifth last year, one of the people said -- a reversal of fortunes for the two banks known as the "Wall Street refiners.”