Goldman's Kostin Sticks With S&P at 4,000 Forecast

The video discusses the impact of the debt ceiling on the equity market, with insights from David Kostin of Goldman Sachs. Despite market confusion, the S&P 500 has risen, but forecasts suggest a modest decline to 4000. Key issues include negative earnings growth and limited money flow. The video also explores the role of tech stocks, particularly AI, in driving market performance. Interest rates and economic growth are analyzed, with the Fed expected to hold rates steady. The potential impact of debt ceiling negotiations on market liquidity is also examined.

What is the forecasted level for the S&P 500 according to David Kostin?

• 4200

• 4000

• 3800

• 4500

Which sector is mentioned as having the largest allocation in hedge funds but is lagging?

• Technology

• Finance

• Energy

• Healthcare

What is the current view of Goldman Sachs regarding the Federal Reserve's interest rate policy?

• The Fed will eliminate rates

• The Fed will cut rates soon

• The Fed will hold rates steady

• The Fed will increase rates

Which companies are considered beneficiaries of the AI trend according to the discussion?

• Tesla, Ford, GM

• Meta, Alphabet, Microsoft

• ExxonMobil, Chevron, BP

• Coca-Cola, Pepsi, Nestle

What is the typical market behavior ahead of debt ceiling negotiations?

• Market tends to rally

• Market tends to be weak

• Market remains stable

• Market experiences high volatility

Where is the majority of money flow going in the current market environment?

• Cash and money market mutual funds

• Bonds

• Real estate

• Equities

What is the expected return on three-month T-bills in the current environment?

• 2%

• 7%

• 3%

• 5%