Goldman Sachs eyes deal windfall as earnings smash forecasts

July 13 (Reuters) – Goldman Sachs Group Inc (GS.N)executives said a record backlog of deals will help drive profits for the rest of the year after the bank smashed second-quarter estimates.

Deals worth $1.5 trillion were announced in the three months to June 30 despite slowing activity among blank-check firms, more than any second quarter on record and up 13% from the record first quarter of the year, according to Refinitiv data.

Goldman’s Chief Executive Officer David Solomon expects the deal bonanza to continue as company bosses look to re-position their business for the post-pandemic world, he told analysts on a conference call.

“Strategic discussions with our corporate client base remain high, reflective of elevated CEO confidence and the prospect of continued economic recovery,” he said. “We’re seeing really broad engagement across our franchise.”

A note of caution was sounded on the potential impact of President Joe Biden’s executive order signed…

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