What’s more critical for the stock market’s health than the outcome of the presidential election? A COVID-19 vaccine, so says Goldman Sachs.
With Q3 earnings season kicking into gear this week, the firm believes the virus’ effect on fundamentals should be the focus, as opposed to the race to the White House. “The vaccine represents a more important factor than the election result for the path of equities… The consequences of the semi-frozen economy on an uneven road to recovery will be in Q3 results,” Goldman Sachs’ U.S. equity strategist David Kostin commented.
Even though elections are a source of uncertainty, research analysts from Goldman Sachs found just a 4% difference in EPS if President Trump is re-elected or the Democrats come out on top. Based on