Eye-popping returns? Goldman Sachs analysts say forget the era, stock market party is over, be prepared for low returns in the next 10 years

The S&P 500 is currently having a hard time at the US stock market since September as it has been tanking its value over time, and it was earlier considered an annual occurrence. S&P 500 usually hits its bottom during the month, and continues its downward trend until the end of the year after which it again begins showing an upward trend. However, a Goldman Sachs analyst has claimed that this could no longer be the case as S&P 500 may continue its downward trajectory for the next decade.

Will S&P 500 shock US investors?

Over the years, S&P 500 has given eye-popping returns at the US stock market but Goldman Sachs analysts are of the opinion that its period of doom has just begun and could continue for at least the next 10 years, which could be a major problem for US investors. Ever since there were inflation and recession fears looming over the US stock markets and the national economy, S&P 500 had begun its nosedive, but it was expected that things would resort to being normal over time. This may reportedly not be the case anymore as US investors should be prepared for equity returns to be in the lower end.

The Goldman analysts also claimed that there is a 72% chance that the S&P 500 will underperform bonds for the next 10 years, which is a major worry, as it has the ability to influence other bonds and stocks at the market, that could end up impacting things aggressively.

FAQs:

Is S&P 500 prices falling?

S&P 500’s value had already begun falling since September but is expected to return on track by he end of the year. Meanwhile, analysts are claiming that investors should brace for low returns for the next decade on S&P 500.

Was S&P 500 down in September?

Yes, S&P 500 had recorded new lows in the month of September and continued its wrath until October, according to market data.

…moreless