47ad3b7a8 chart ws index sp500 2012621152241 09

Click chart for more market data

Goldman Sachs’ (GS) analysts told investors to sell the SP 500 (SPX) Thursday and boy did they ever.

The SP 500, which was already down 1%, dropped even further as Goldman’s report bounced around email inboxes.

Goldman’s analysts said they could see the SP 500 drop to 1,285, roughly 5% below its current levels. Heading into the close, the broad index was down more than 2% at 1,326.

Analysts Noah Weisberger and Aleksandar Timcenko cited the sharp drop in the Philly Fed index Thursday as just another piece of evidence that the ephemeral recovery has lost steam.

“We now think, with incremental U.S. monetary policy on hold, the market will need to confront a deteriorating growth picture near term,” the analysts said.

Still they did add a few caveats. The SP could pop or at least stay flat if the U.S. or Chinese economies start revving up or if European policy makers talk a big game about propping up the market.

Article Source: http://rss.cnn.com/~r/rss/money_markets/~3/0T_iHu__Lxs/

About the author

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Sign Up for Our Newsletter

Get notified of our weekly selection of news

You May Also Like

Food insecurity is threatening decades of development progress in Asia and the Pacific

The Russian invasion of Ukraine has disrupted supplies of food staples and fertilizer, straining a global food system already weakened by climate change impacts, pandemic-related supply shocks, and unsustainable farming practices.

Thailand to tax Stock market trades ending a 30 years waiver

The tax is expected to contribute to the Thai government’s budget revenue by about 8 billion THB (230 million USD) in the first year