Goldman Sachs like US equities increased via year-end

Goldman Sachs analysts on why US stocks are set to gain for the rest of the year:

• seasonals – Monday starts “the best trading period of the year for U.S. equities also during election years”
• end of October means less selling from mutual funds and pensions
• US corporates return to buying – GS says the largest buyer of the equity market are U.S. Corporates (“repurchase window” for U.S. companies to buy back their own stock “started Monday “with 50% of corporates in the open window”)
• diminished volatility (CBOE Volatility Index down)
• contrarian call against a “global consensus on Wall Street” that stock prices will fall after the presidential election

I posted earlier from BoA:

• Bank of America technical analysts like S&P 500 through to the end of the year

This article was written by Eamonn Sheridan at www.forexlive.com.