From Nasdaq:

Last night, the Iowa caucuses began the U.S. Presidential primary season. It marks the start of a politically charged election year. A financial divide became clear as two sets of numbers were released this morning. Goldman Sachs posted good results, while other consumer-focused banks’ earnings missed expectations, indicating potential economic division.

Goldman Sachs released their earnings report for Q4, showing EPS of $5.48, above the estimated $3.51. The revenue numbers also beat estimates. The results reflect a good quarter for the investment bank, a sign of economic division.

The results of banks focused on Wall Street indicate a division in America’s economy. Banks geared towards trading and investment banking rather than consumer services had better earnings. Market-oriented divisions had a stronger quarter than retail banking.

Despite dire economic warnings, the stock market performed well in Q4. Reports suggest a market optimism while the “real” economy is preparing for a downturn. The wealth gap seems to be growing.

The New York Fed Manufacturing Survey reported worrying numbers this morning. The index was -43.7 against an expected five-point decline. The results show declining sentiment and activity in the manufacturing sector.

A divide in the economy is evident, with the stock market heading towards all-time highs while manufacturers feel uncertain about the future.

The rich seem to be getting richer, creating a growing wealth disparity. The upcoming election will bring a choice between two candidates who’ve presided over this trend. The 9% annual wealth disparity growth under Donald Trump suggests a need for change to reverse this.



Read more: Signs of a Worrying Economic Divide in America