GS CUTS FINANCIALS

GS cutting the Q3 estimates on MS to $.85 from $1.1, MER to (-$4.75) from (-$4.40), LEH to (-$2.75) from $.68, C to flat from +$.17, JPM to $.40 from $.64, - also say they favor going long MS and short C- also cut LEH for the year to -$9.65 from a -$2.1.

The real news is there is no reaction to the cuts in the after hours so no one probably shocked by this news as the financials have been ugly the last few days.

One other tidbit- note the action in XLE- it refuses to bust the $70 level on a closing basis and was up 3.5% today - it stopped going down over two weeks ago despite the continuing drop in crude- FWIW.