Oct 15, 2017

Goldman warns stocks likely to head lower

Goldman Sachs warns stocks could head lower. Photo: Richard Drew / AP

The chief stock strategist for Goldman Sachs warned clients in a note that there is an 88% chance stocks enter a bear market in the next 2 years, according to Business Insider. Goldman says that stocks are expensive when measured against earnings and included data on unemployment, manufacturing and the bond yield curve to figure the likelihood stocks will go lower.

Why it matters: The S&P 500 is on it's second longest and largest bull run in history, BI notes (only the 10-year run leading into the dot-com bubble was longer.) President Trump regularly touts stocks at record highs.

Go deeper: Click here for more details and charts from the Goldman report.

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