Goldman Sachs Calls for End of Year Rally

By Timothy Sykes

Last updated on February 2, 2021
Goldman Sachs Calls for End of Year Rally Thumbnail

Goldman Sachs has raised its end-of-year target for the S&P 500 from 3,600 to 3,700.

The S&P 500 opened above 3,600 on Monday after news broke of the 90% effective vaccine from drugmaker Pfizer Inc. (NYSE: PFE), but closed near 3,550. Monday’s session was exceptionally volatile

The two trading days since Monday have been significantly calmer and the bullish trends are emerging.

Goldman’s main driver for this forecast was Pfizer’s vaccine. It believes the vaccine could get emergency use authorization from the FDA as soon as January 2021.

The COVID-19 pandemic has been wreaking havoc on international financial markets since March of this year. “However within less than a year, a vaccine’s been discovered.” Goldman’s chief U.S. equity strategist David Kostin wrote in a note.

And while the 2020 presidential election has been the focal point of the news in recent months. Kostin wrote, “the divisive U.S. presidential campaign was actually a backdrop to the main event: a public health crisis.”

At writing, the S&P 500 was trading near 3,565. If the end-of-year target of 3,700 is met, that would be a 3.8% increase from current levels.

Goldman also forecasted the 2021 year-end level to be 4,300. This would be a 16% increase from the projected 2020 year-end forecast.

Posts contain affiliate links. Timothysykes.com may get compensated for affiliate posts and purchases through links

Share

How much has this post helped you?

star star star star star
Comments (1)
Author imageTimothy Sykes
Hey Everyone,

As many of you already know I grew up in a middle class family and didn't have many luxuries. But through trading I was able to change my circumstances --not just for me -- but for my parents as well. I now want to help you and thousands of other people from all around the world achieve similar results!

Which is why I've launched my Trading Challenge. I’m extremely determined to create a millionaire trader out of one my students and hopefully it will be you.

So when you get a chance make sure you check it out.

PS: Don’t forget to check out my 30 Day Bootcamp, it will teach you everything you need to know about trading.

Leave a Reply