Shares of Goldman Sachs Dip Despite Unveiling Amazon-Backed Cloud Service
Goldman Sachs is one of the leading investment banks in the United States for the past few decades. It usually partners with financial institutions around the world but this time dipped its toes into the tech world.
Goldman Sachs Enters the Cloud Computing Business
One of the leading names on Wall Street, Goldman Sachs, surprised many earlier this week after announcing its partnership with Amazon. Goldman Sachs has entered the cloud computing business.
According to the reports, the investment bank partnered with Amazon’s cloud division to open up access to its trove of market data and software tools. The data and software tools would be available to hedge funds and asset managers.
This latest development puts Goldman Sachs in a unique position of being a provider of cloud services to Wall Street. CEO David Solomon wants to use technology to better serve clients of the firm’s markets division, and the launch of the cloud computing service is expected to boost their efforts in this regard.
In an interview with CNBC, Solomon said, “Clients of the firm will get access to our decades of experience and data aggregation that should enable them to enhance their business decisions, both from a speed and efficiency perspective. We think that adds to our position as a leader in the marketplace.”
GS Dips Despite Cloud Service News
The shares of Goldman Sachs have been dipping since the start of the week despite the positive news that the firm is entering the cloud computing space. At press time, GS is trading at $376 per share, down by more than 1.22% over the past 24 hours.
In the last month, GS has lost nearly 10% of its value. Regardless, Goldman Sachs has performed excellently since the start of the year, with its stock price up by more than 44% over the past eleven months.