NEW YORK (AP) — A surging stock market and a flurry of deal making padded the profits of Wall Street's two big investment banks, which both saw a double-digit jump in profits in the fourth quarter.
Goldman Sachs's net earnings rose 12% from a year earlier, posting a profit of $4.62 billion, or $14.01 a share. Meanwhile Morgan Stanley said it earned $4.4 billion, or $2.68 per share, compared to a profit of $3.71 billion, or $2.22 per share, compared to a year earlier.
Wall Street has been bolstered by the Trump administration's deregulatory policies, which has led corporations to seek out mergers and acquisitions, as well as the surge of investor interest in artificial intelligence companies and those who stand to benefit from the mass adoption of technologies like ChatGPT.
Investment fee revenues over at Goldman were up 25% year-over-year and Morgan Stanley saw a 22% jump in revenue in its investment banking division. Both banks said their investment fee backlog, which is a signal of how much deal making is still pending that banks are working on, increased significantly in the fourth quarter.
Goldman and Morgan's results reflect the strong earnings out of the other big banks that reported their results this week. JPMorgan Chase, Bank of America and Citigroup all saw jumps in fourth-quarter profits, but their results were dampened by the ongoing tensions that Wall Street is having with the White House over the issue of the independence of the Federal Reserve and President Donald Trump's interest in capping credit card interest rates at 10%.
Along with a strong investment banking performance, Goldman Sachs also agreed to sell off its Apple Card credit card portfolio to JPMorgan Chase last week, effectively exiting its brief experiment in consumer banking. The bank sold the credit card portfolio at a discount to JPMorgan, a sign of how desperately Goldman wanted to exit the business and put the Apple Card behind it.
FILE - Electronic signage is shown at Morgan Stanley headquarters, Thursday, March 4, 2021 in New York. (AP Photo/Mark Lennihan, File)
FILE - In this Dec. 13, 2016, file photo, the logo for Goldman Sachs appears above a trading post on the floor of the New York Stock Exchange. (AP Photo/Richard Drew, File)
CARACAS, Venezuela (AP) — Venezuelan opposition leader María Corina Machado comes to the White House on Thursday to discuss her country's future with President Donald Trump even after he publicly dismissed her credibility to take over after an audacious U.S. military raid captured then-President Nicolás Maduro.
Trump has raised doubts about his stated commitment to backing democratic rule in Venezuela. His administration has signaled its willingness to work with acting President Delcy Rodríguez, who was Maduro’s vice president and, along with others in the deposed leader’s inner circle, remains in charge of day-to-day governmental operations.
In endorsing Rodríguez so far, Trump has sidelined Machado, who has long been a face of resistance in Venezuela and sought to cultivate relationships with Trump and key administration voices like Secretary of State Marco Rubio among the American right wing in a gamble to ally herself with the U.S. government.
The White House says Machado sought the face-to-face meeting with Trump without setting expectations for what would occur. Her party is widely believed to have won 2024 elections rejected by Maduro. Machado previously offered to share with Trump the Nobel Peace Prize she won last year, an honor he has coveted.
Machado plans to have a meeting at the Senate following her lunch with Trump, who has called her “a nice woman” while indicating they might not touch on major issues in their talks Thursday.
Her Washington swing began after U.S. forces in the Caribbean Sea seized another sanctioned oil tanker that the Trump administration says had ties to Venezuela. It is part of a broader U.S. effort to take control of the South American country’s oil after U.S. forces seized Maduro and his wife at a heavily guarded compound in the Venezuelan capital of Caracas and brought them to New York to stand trial on drug trafficking charges.
The White House says Venezuela has been fully cooperating with the Trump administration since Maduro’s ouster.
Rodríguez, the acting president, herself has adopted a less strident position toward Trump and his “America First” policies toward the Western Hemisphere, saying she plans to continue releasing prisoners detained under Maduro — a move thought to have been made at the behest of the Trump administration. Venezuela released several Americans this week.
Trump, a Republican, said Wednesday that he had a “great conversation” with Rodríguez, their first since Maduro was ousted.
“We had a call, a long call. We discussed a lot of things,” Trump said during an Oval Office bill signing. “And I think we’re getting along very well with Venezuela.”
Even before indicating the willingness to work with Venezuela's interim government, Trump was quick to snub Machado. Just hours after Maduro's capture, Trump said of Machado that “it would be very tough for her to be the leader. She doesn’t have the support within or the respect within the country.”
Machado has steered a careful course to avoid offending Trump, notably after winning last year’s Nobel Peace Prize, which Trump wanted to win himself. She has since thanked Trump. Her offer to share the peace prize with him was rejected by the Nobel Institute.
Machado’s whereabouts have been largely unknown since she went into hiding early last year after being briefly detained in Caracas. She briefly reappeared in Oslo, Norway, in December after her daughter received the Nobel Peace Prize on her behalf.
The industrial engineer and daughter of a steel magnate began challenging the ruling party in 2004, when the nongovernmental organization she co-founded, Súmate, promoted a referendum to recall then-President Hugo Chávez. The initiative failed, and Machado and other Súmate executives were charged with conspiracy.
A year later, she drew the anger of Chávez and his allies again for traveling to Washington to meet President George W. Bush. A photo showing her shaking hands with Bush in the Oval Office lives in the collective memory. Chávez considered Bush an adversary.
Almost two decades later, she marshaled millions of Venezuelans to reject Chávez’s successor, Maduro, for another term in the 2024 election. But ruling party-loyal electoral authorities declared him the winner despite ample credible evidence to the contrary. Ensuing anti-government protests ended in a brutal crackdown by state security forces.
Garcia Cano reported from Caracas, Venezuela, and Janetsky from Mexico City. AP Diplomatic Writer Matthew Lee in Washington contributed to this report.
FILE - U.S. President George Bush, right, meets with Maria Corina Machado, executive director of Sumate, a non-governmental organization that defends Venezuelan citizens' political rights, in the Oval Office of the White House, Washington, May 31, 2005. (AP Photo/Charles Dharapak, File)
FILE - Opposition leader Maria Corina Machado gestures to supporters during a protest against President Nicolas Maduro the day before his inauguration for a third term, in Caracas, Venezuela, Thursday, Jan. 9, 2025. (AP Photo/Ariana Cubillos, file)
