😩 GS: SPX -5% in next 3 months

Goldman’s report this afternoon suggests the SPX will fall 5% in the next quarter…

And only end up +6% this year, sigh.

This comes as their EPS forecasts are significantly below consensus…

Their reasoning is primarily due to slowing growth, and their investment recommendations are to look for…

‘Signs of a trough: accelerating macro data, more asymmetry in market pricing, extremely light positioning’

Create an… ‘Insensitive Portfolio: stocks with minimal correlation to key thematic drivers of recent equity market volatility’

Look for… ‘Stable Growth Stocks (GSTHSTGR): stocks with the least variable earnings growth during the past decade’

We sort of agree, but our dashboard shows stocks with other characteristics right now…

We aren’t giving away our top picks, but what we can note here is financials have had a strong pick up this week according to our scoring.

…but also while defensive sectors have had strength.

Higher rates and a bit of defensiveness backs up Goldman’s view a little…

Interesting times…

PS. if you want to understand this more, drop me a WhatsApp and we can chat about the above a bit more 👀