New York, Feb 5, 2026, 14:33 ET — Regular session
- GS drops alongside major U.S. banks as yields decline and appetite for risk fades
- Labor figures and renewed concerns over AI spending continue to support Treasuries
- Attention shifts to the postponed U.S. January jobs report now set for Feb. 11
Goldman Sachs Group Inc shares dropped roughly 1.8% to $896.72 Thursday afternoon, after fluctuating between $877.15 and $915.88 earlier. Morgan Stanley slipped about 2%, JPMorgan Chase lost around 2.4%, and Citigroup slid nearly 1.6%. Bank of America dipped less than 1%.
The decline counts because investors often lean on bank stocks for a quick gauge of growth and interest rate expectations. The KBW Nasdaq Bank Index slipped roughly 1.1%, indicating this wasn’t just a Goldman Sachs issue. 1
U.S. Treasury yields dipped on soft labor data, with stocks also retreating as worries over AI spending lingered. The 10-year yield dropped 6.2 basis points to 4.216%, while the 2-year yield slid 6.5 basis points to 3.494%. The S&P 500 was down roughly 0.9% in late morning trade, according to Reuters data. “Investors today are starting to turn more defensive,” said Anthony Saglimbene, chief market strategist at Ameriprise. 2
The labor data came in mixed, adding to the banks’ headaches. Initial jobless claims surged by 22,000 to 231,000, well above the expected 212,000, while job openings dropped sharply by 386,000 to 6.542 million in December, according to the Labor Department. Continuing claims also ticked up 25,000 to 1.844 million. Gisela Young, an economist at Citigroup, noted, “There could continue to be some distortions to claims in the near term due to inclement weather.” 3
Goldman also pointed to how fast the tech selloff was hitting positioning. The bank noted that equity hedge funds suffered their worst day in nearly a year on Wednesday amid losses in crowded trades. Hedge funds with big stakes in tech, telecoms, and media dropped as much as 2.78%, according to a client note. The bank called it a momentum-driven selloff — where trading chases price moves — as funds scrambled to trim concentrated long bets. 4
Goldman isn’t your typical vanilla lender, yet it moves on the same major swings as others. When yields drop and clients hold back, underwriting and advisory often take a hit. That can drag the stock down, even if trading desks keep churning.
Investors are now focused on the postponed U.S. employment report for January, set to be released Wednesday, Feb. 11 at 8:30 a.m. ET. 5
Traders are focused on rates, the mood in tech, and if the bank group can hold steady into the close. Goldman’s tape has been making the moves — and it’s far from over.
