Goldman Sachs cuts Thomson Reuters to Sell

The influential US investment bank believes the group’s financial information business - the Markets division - will suffer a significant deterioration in sales this year.

Citing another round of job cuts at leading investment banks, Goldman said: “We believe Markets will see significant deterioration in 1Q to -3 per cent and for the full year to -8 per cent, compared with full-year consensus forecasts of -4 per cent.”

At one point the London shares touched 1,611 pence, but then closed at 1,656 - 9.30% below their 52-week high of 1,826 pence set a year ago. The 52-week low is 883 pence.

Tomorrow is the first anniversary of Thomson Corp’s takeover of Reuters.

Over the last week Thomson Reuters has underperformed the FTSE 100 index. Over all other time periods it outperformed the index.

Closing prices:

LONDON: TRIL.L up 0.98 per cent to 1656p.

NEW YORK: TRI down 1.70 per cent to $27.19.

TORONTO: TRI.TO down 1.29 per cent to C$32.90.

NASDAQ: TRIN up 0.60 per cent to $149.41. ■