Don't miss it! Goldman expects a year-end rally to start this week for US stocks
1min read Scott Rubner, a trader at Goldman Group, said the year-end rally would begin this week, pushing the S&P 500 up about 4% to 6,200 points.As the stock market enters its best seasonal trading pattern, retail mania for stocks and cryptocurrencies is accelerating. Demand for buybacks from companies is also increasing, one of the reasons the rally may start in the next few days, Rubner said in a note to clients on Friday.“I think there will be few shorts (of the S&P index) at the end of the year,” he wrote.He added that the consolidation phase that emerged last week was typical. The U.S. stock market saw its biggest three-month inflow since 2021, and November may be the biggest monthly inflow on record.Since the presidential election on Nov. 5, the S&P 500 has risen 3.2% while the Russell 2000 has gained 6.5%, Rubner said. The rally typically lasts until January in election years, fading only in the days before the inauguration.“Historically, good years for the U.S. stock market tend to follow one another, and January is when capital deploys from the largest asset base,” he said.
