{"id":3810,"date":"2025-04-14T19:22:32","date_gmt":"2025-04-14T19:22:32","guid":{"rendered":"https:\/\/nationalgunowner.org\/index.php\/2025\/04\/14\/goldmans-david-solomon-says-tariffs-may-spook-international-clients\/"},"modified":"2025-04-14T19:22:32","modified_gmt":"2025-04-14T19:22:32","slug":"goldmans-david-solomon-says-tariffs-may-spook-international-clients","status":"publish","type":"post","link":"https:\/\/nationalgunowner.org\/index.php\/2025\/04\/14\/goldmans-david-solomon-says-tariffs-may-spook-international-clients\/","title":{"rendered":"Goldman\u2019s David Solomon Says Tariffs May Spook International Clients"},"content":{"rendered":"
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David Solomon, CEO of Goldman Sachs, said the recent quarter has been marked with heightened uncertainty. Tom Williams\/CQ-Roll Call, Inc via Getty Images<\/span><\/figcaption><\/figure>\n

In recent days, Wall Street CEOs have offered various predictions about how the Trump administration\u2019s tariff policy could impact their business abroad. Some have cautioned unavoidable fallout, while others claim their international dealings won\u2019t be impacted. David Solomon<\/a>, CEO of Goldman Sachs (GS)<\/a>, appears to fall somewhere in the middle.<\/p>\n

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\u201cWhat we\u2019re hearing from clients, particularly clients in Europe and other places around the world, is they don\u2019t like the level of uncertainty,\u201d said Solomon during the investment bank\u2019s first-quarter earnings call today (April 14). When it comes to how this sentiment will play out for a global financial institution like Goldman Sachs, \u201cit\u2019s early to call heads or tails,\u201d noted the CEO.<\/p>\n

Markets have been reeling since April 2, when President Donald Trump<\/a> unveiled the so-called \u201cLiberation Day\u201d tariffs\u2014an across-the-board 10 percent levy, with additional \u201creciprocal\u201d duties targeting countries based on their trade deficits. China, notably, has seen its tariffs raised to 145 percent, while most of the other reciprocal levies have been paused for 90 days.<\/p>\n

But tariff-induced anxieties remain. Jamie Dimon<\/a>, CEO of JPMorgan Chase (JPM)<\/a>, warned last week that his bank \u201cwill be in the crosshairs<\/a>\u201d as international clients and countries begin to feel differently about American financial institutions. Morgan Stanley (MS)<\/a> CEO Ted Pick<\/a> had a more positive take last week, saying he remains \u201cbullish\u201d on his firm\u2019s global business.<\/p>\n

Solomon, meanwhile, believes it\u2019s too soon to tell. While the executive told analysts today that international clients are currently \u201cextremely engaged\u201d with the bank and there isn\u2019t a decline of business on the horizon, Solomon noted that short-term concerns are particularly pronounced outside of the U.S.<\/p>\n

In some ways, recent market volatility has been beneficial to Goldman Sachs. Heightened levels of uncertainty have spurred a rise in trading, driving up the bank\u2019s equity trading revenue to $4.19 billion in the first three months of this year\u2014a 27 percent year-over-year increase. Total revenue climbed 6 percent to $15.06 billion for the quarter, and profit rose 15 percent to $4.74 billion. Both figures beat estimates. Goldman shares rose 2.3 percent on the results today.<\/p>\n

Dealmaking is slowing and heading into more uncertainties.<\/h3>\n

At the close of 2024, Solomon predicted a surge in mergers and acquisitions under a renewed Trump administration. So far, the reality has been the opposite. Goldman Sachs\u2019 latest earnings reveal a clear slowdown in dealmaking, with investment banking fees dropping 8 percent year-over-year to $1.91 billion. The bank\u2019s deal backlog has grown for the fourth consecutive quarter, Solomon noted, though he added that \u201cour ability to execute on these transactions will, of course, be dependent on market conditions.\u201d<\/p>\n

Solomon, like other Wall Street leaders, has become increasingly worried about said market conditions leading to a broader economic downturn. During today\u2019s earnings call, he warned that slowing economic activity around the globe means that \u201cthe prospect of a recession has increased.\u201d<\/p>\n

Dimon echoed similar concerns last week, putting the odds of a recession this year at 50\/50. Other finance titans, like Larry Fink<\/a>, CEO of BlackRock (BLK)<\/a>, have declared that the U.S. might already be in one.<\/p>\n

For the time being, Solomon is urging calm. \u201cMy guess is, over time, this level of uncertainty will come down,\u201d he said. \u201cMy general message to people is to go slow and take a pause here until we have more clarity around a lot of these issues.\u201d<\/p>\n

\t\t\t\t\"Goldman<\/p><\/div>\n