EddieJayonCrypto
11 Jun 25
Goldman Sachs' chief US equity strategist David Kostin predicts a further stock market rally, expecting about a 10% gain in the S&P 500 by the end of the year. He notes that "hard data" may soon outweigh uncertain "soft data" affecting markets. While short-term downside risks exist due to tariff unc...
Goldman Sachs' chief US equity strategist David Kostin forecasts a robust stock market rally, projecting about a 10% gain in the S&P 500 by year-end. Kostin highlights that "hard data" may soon take precedence over the uncertain "soft data" that has influenced market sentiment recently.
In the short term, Kostin acknowledges potential downside risks due to tariff uncertainties and upcoming earnings reports. However, he does not foresee a recession in the bank’s base case scenario. Instead, he anticipates continued economic growth complemented by earnings increases of 7% this year and another 7% next year.
Based on these expectations, Kostin projects the S&P 500 to reach approximately 6500 points, marking an almost 10% rise. He notes that while short-term volatility may persist due to various economic signposts, including the lifting of blackout periods for share repurchases, the broader trend remains positive and growth-driven.
Overall, Goldman Sachs maintains optimism about the resilience of the US economy and the stock market, suggesting investors can expect a favorable equity environment through the remainder of the year and into next year.