Somewhat lost amid the saturation coverage of the SEC's complaint against Goldman Sachs: Citigroup (NYSE: C) reported strong first-quarter earnings of 15 cents a share, which trounced expectations. Analysts on average were expecting a slight loss.

These were the best results in three years, and Mr. Market bid up the stock to near $5. The results follow similarly strong results from JPMorgan Chase (NYSE: JPM) and Bank of America (NYSE: BAC). Citigroup's total reserves to cover loan losses fell 22 percent, or $2.4 billion, from the fourth quarter to its lowest level in two years. Also, credit losses fell 15 percent to $8.4.

The bright spot, of course, was securities and investment banking; Citigroup made $8 billion from such businesses, up $4.7 billion from the fourth quarter. Fixed income was the big driver, but whether the bond market will prove such a bountiful source of profits later this year is a big question mark.

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