Goldman Sachs strategists suggest that the U.S. stock market is unlikely to enter a bear market in the next 12 months, as the resilient economic performance provides support. The research team, led by Andrea Ferrario, estimates a mere 18% probability of a technical bear market, marked by a decline of over 20%, even when considering election risks.
The strategists highlight that as long as strong economic growth continues, the stock market should be able to withstand rising bond yields. However, they caution that there could be market volatility following the U.S. election day.
