Goldman Sachs believes that the stock markets’ post-lockdown rally still has plenty of legs despite last week’s wobble.
The big technology stocks that had been chased up to record highs over summer pulled back in the run-up to last weekend, taking the rest of the market with them. However, the US investment bank expects that markets will continue their post-lockdown ascent for a while yet.
“The strong rise in equities from the March trough makes a near-term setback likely. But we think there are ten strong reasons why this bull market should continue,” Peter Oppenheimer, chief global equity strategist at the bank, said.
First on Goldman’s list of bull signals is that equities are in the “hope” phase of a new stock market cycle which