Oil prices (BZ=F, CL=F) are solidly back over the $100 per barrel mark. The August payrolls report showed the US economy added three times as many jobs as expected. Consumer pricing data showed "core" pricing ticking up faster than expected.
In other words, the case has grown increasingly strong for the Federal Reserve to issue its first rate hike in three years on Wednesday, as markets price in roughly a 90% probability of a quarter-point hike.
If equity market performance remains true to historical precedent, that could spell an upcoming trough for stocks, Goldman Sachs **** ysts led by Ben Snider wrote over the weekend.
Looking at history, the benchmark S&P 500 (^GSPC) index has seen an average three-month return of negative 2% at the start of a Fed hiking cycle throughout the past few decades, Goldman noted over the weekend.
That's primarily for three reasons.
#goldman
In other words, the case has grown increasingly strong for the Federal Reserve to issue its first rate hike in three years on Wednesday, as markets price in roughly a 90% probability of a quarter-point hike.
If equity market performance remains true to historical precedent, that could spell an upcoming trough for stocks, Goldman Sachs **** ysts led by Ben Snider wrote over the weekend.
Looking at history, the benchmark S&P 500 (^GSPC) index has seen an average three-month return of negative 2% at the start of a Fed hiking cycle throughout the past few decades, Goldman noted over the weekend.
That's primarily for three reasons.
#goldman
22 hours ago
