Goldman Sachs' Election Market Predictions

Goldman Sachs' Election Market Predictions

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Goldman Sachs' Election Market Predictions

Goldman Sachs models four election scenarios and their impact on the S&P 500, predicting volatility but an eventual relief rally.

English
United States
EconomyUs PoliticsElectionStock MarketPredictionVolatility
Goldman SachsS&P 500Nasdaq
Donald TrumpKamala Harris
What is Goldman Sachs's least likely scenario and its predicted impact on the S&P 500?
The least likely scenario is a Harris win and a Democratic sweep of Congress, potentially causing a 3% drop in the S&P 500 due to anticipated corporate tax increases.
What is Goldman Sachs's overall assessment of market volatility surrounding the election?
Goldman Sachs's analysis highlights the significant market volatility expected around the election, with the firm predicting a relief rally regardless of the outcome.
What is Goldman Sachs's prediction for the S&P 500 if Trump wins and Republicans sweep Congress?
Goldman Sachs predicts a 3% increase in the S&P 500 if Trump wins and Republicans sweep Congress, benefiting financial and cyclical stocks. A divided government under Trump would yield a 1.5% gain, with lower Treasury yields potentially offsetting fiscal concerns.
What is the predicted impact on the S&P 500 if Kamala Harris wins and Democrats take control of Congress?
A Democratic sweep with Harris winning is predicted to cause a 3% drop in the S&P 500 due to potential tax increases. If Harris wins but Congress remains divided, a 1.5% drop is projected, though investors might buy the dip.
What election outcome does Goldman Sachs consider most likely, and what is its market prediction for that scenario?
The most likely scenario, according to Goldman Sachs, is a Harris victory with a divided government, resulting in a 1.5% decline in the S&P 500. This scenario would likely favor secular growth and Nasdaq stocks.