The following article is brought to you by the Heard On The Street section of The Wall Street Journal.
Mirror, mirror on the wall, who’s the biggest, baddest bank of all? Not Goldman Sachs Group, surprisingly. As regulators try to identify the world’s most systemically important banks, reports out of Basel, Switzerland, on Friday suggested Goldman isn’t in the top tier.
J.P. Morgan Chase was none too pleased that it was likely to receive this designation, which could imply higher capital requirements, while Goldman ranked lower down the scale. Still, J.P. Morgan’s bankers can now at least taunt rivals at Goldman that they are officially working for a second-tier bank.
Other WSJ News:
Feeling depressed? The so-called Misery Index, adding together unemployment and inflation rates, is at a 28-year high, hitting 12.7 in May, according to Capital Economics. Fittingly, on Friday, the University of Michigan’s early June consumer-sentiment index dropped below 72 for the first time in seven months. Anyone hoping for that second-half bounce in spending should pray falling gasoline prices offer households some relief.