MoneyGoldman Sachs: stocks will perform better than bonds in...

Goldman Sachs: stocks will perform better than bonds in the coming year

The stock market is overbought, but it still looks much more attractive than bonds, writes Goldman Sachs.

In the next 12 months, the stock market will show better dynamics than the bond market, predicts the American investment bank Goldman Sachs. Global stocks have recouped on average 99% of losses incurred after the coronavirus-triggered stock market crash, and the S&P 500 has reached new all-time highs.

The stock market is now more overbought than it has ever been since the dot-com bubble in the late 1990s, but a number of indicators indicate that stocks are rarely as attractive as bonds, Goldman Sachs wrote. In their assessments, they point, in particular, to the forward P / E multiple (share price / earnings per share – approx. ProFinance.ru), as well as the fact that the risk premium included in the share price is close to record values.

In 12 months, the European stock market may continue to show outperformance relative to bonds, but the US stock market is likely to lag behind, the bank predicts.

In late July, Goldman Sachs wrote that stocks and bonds will generate below average returns over the medium term.

Matthew Leising
Matthew Leisinghttps://www.newsalarms.com/
I cover market structure for News Alarms, specifically how the bond, derivatives, and cryptocurrency markets work or don't.

Latest news

Opening Doors: Canada-Visas.org Revolutionizes Canadian Travel Accessibility

Ottawa, Canada, 28th March 2024, Canada, renowned for its diversity, economic stability, and breathtaking landscapes, has long been a...

New Gateway Opened for Travelers: Seamless Online Canada Visa Applications Now Accessible from Monaco, New Zealand, Papua New Guinea, Samoa, and San Marino

Ottawa, Canada, 28th March 2024, In a bid to enhance global connectivity and streamline travel processes, Canada-Visas.org has unveiled...

Discover Canada: Effortless Visa Applications Unveiled for Iceland, Ireland, Luxembourg, and Malta Nationals

Ottawa, Canada, 28th March 2024, As global travel steadily resumes, accessing Canada has become even more streamlined for citizens...

Empowering European Travelers: eVisa-US Simplifies US Visa Applications

Washington, US, 28th March 2024, In a groundbreaking move towards simplifying the visa application process, eVisa-US emerges as a...

Seamless Access to the USA: Simplified Visa Application Process for Citizens of Finland, Greece, Hungary, Iceland, and Ireland via evisa-us.org

Washington, US, 28th March 2024, In an era where global connectivity is paramount, evisa-us.org has emerged as a beacon...

Revolutionizing Travel: eVisa-US Launches Game-Changing Solution for Latvian Citizens

Washington, US, 28th March 2024, In a bid to streamline travel processes, eVisa-US unveils a groundbreaking solution for Latvian...

Must read

Hungama joins forces with BharatBox for an Unprecedented Digital Odyssey

BharatBox, in collaboration with The Sandbox announces the launch...

BharatBox & Mahabharata: A Metaverse Renaissance in Storytelling Brilliance

BharatBox, the India destination within The Sandbox, in collaboration...

Unlocking the Power of Belief: Ramsena Coin Introduces the First Hindu Cryptocurrency and Virtual Revolution.

Ramesena Coin, the world's biggest virtual connection of Hindutva,...

USD 19,500, the new key price of bitcoin to start an upward movement

Key facts: In the past, $19,500 has been a resistance...

Blockchain IDOs and Presales You Should Know About

There’s never a lack of new projects opportunities when...

You might also like
Recommended to you