Goldman Sachs Highlights Bullish Equity Outlook Amid Stable Rates and Earnings Growth

As 2025's final quarter begins, Goldman Sachs' Chief U.S. Equity Strategist David Kostin projects further market gains, citing stable long-term interest rates and earnings growth as key drivers. The Nasdaq and S&P 500 recently closed their strongest Q3 since 2020, setting the stage for continued upside.

Kostin emphasizes that elevated equity valuations align with macroeconomic fundamentals, supported by an accommodative Fed and accelerating economic growth into 2026. Historical patterns around Fed cutting cycles suggest additional market upside.

Goldman Sachs analysts are identifying high-potential stocks for this environment, though the excerpt cuts off before naming specific tickers. The broader narrative underscores institutional confidence in sustained equity performance.