Goldman Strategist Sees Stocks Downside Even if Recession Avoided
- Strategist sees constrained equity market returns ahead
- Short-term rally similar in size to the one in March unlikely
David Kostin
Photographer: Victor J. Blue/BloombergThis article is for subscribers only.
The outlook for U.S. stocks isn’t particularly bright, even if an outright recession is avoided, according to Goldman Sachs Group Inc. strategists.
“The best case scenario for the economy -- and, eventually, for equity prices -- probably involves a continued period of constrained equity market returns,” the strategists led by David Kostin wrote in a note to clients. “Risks around equity valuations are skewed to the downside even in our base-case, non-recessionary scenario.”