It is front and center for financial stocks this week.

　Goldman Sachs Group Inc. reports first-quarter results Tuesday, and investors will be anxious nfl jersey for any additional detail the firm may offer on the bombshell fraud allegations leveled at it by the Securities and Exchange Commission. Investors also football jerseywill be watching to see if there is any spillover from the SEC's suit to the wider financial industry, and implications for financial-overhaul legislation, when Citigroup Inc. reports on Monday and Morgan Stanley on Wednesday. nfl football jersey
　
　　While the SEC case has investors again jittery about big banks, don't be surprised if results and projections from the three firms provide a measure of relief. After all, reports from J.P. Morgan Chase & Co. and Bank of America Corp. pittsburgh steelers jerseylast week showed credit losses easing and trading profits booming. That makes it likely that this week's earnings reports will be similarly upbeat.
　　
　　This could help stocks claw back some of Friday's losses. Even Goldman's shares, which fell 13% after the SEC announced its suit, could find their footing. The firm has said it will vigorously defend itself against the SEC's claims. And if anyone is likely to benefit from the buoyant, first-quarter trading environment in debt markets already highlighted by J.P. Morgan and Bank of America, it should be Goldman. Any ultimate liability from the SEC suit is likely to pale in comparison to outsized trading profits.
　
　　But to know whether any tennessee titans jerseyreversal in shares of financial stocks has staying power, investors will have to listen more closely to the rhetoric emanating from Washington than any soothing talk heard on earnings calls from Citigroup, Goldman and Morgan.
　　
　　The stage is now set for a final battle over financial-overhaul legislation. Republicans on Friday said they had enough votes to impede the legislation in the new orleans saints jersey
Senate. President Barack Obama countered that he would veto legislation that was too soft in regulating derivatives markets.

　　The Goldman new york giants jersey
case, which involves privately traded derivatives that some blame for worsening the financial crisis, plays into his hand.
　　
　　If Mr. Obama reallySan Francisco 49ers jersey
digs his heels in and wins, the biggest banks will face a much greater threat to their long-term profitability than that posed by any SEC case. And any relief for financial shares could prove short-lived.