Goldman sees equities leaning on earnings as risk appetite weakens
In short
Goldman Sachs said global stocks may need earnings growth to keep doing well as investors become less willing to take risks.
It also kept a positive view on bonds, especially longer-term government securities, which can matter for investors looking for safer places to put money.
What the reporting says
Goldman Sachs said global equities will have to rely more on earnings growth as investor risk appetite weakens. The firm also maintained an overweight stance on bonds, especially longer-duration government securities, according to a publisher-supplied market summary. The brief points to a more cautious market setup and a preference for duration in government debt.
Why it matters
Goldman Sachs said global equities will need earnings growth to support returns as investor risk appetite weakens. That points to a cautious stance on risk assets and a relatively supportive view on government debt.