Goldman Sachs Trading Volume Plummets 25.37% Ranking 30th in Market Activity

On April 7, 2025, Goldman Sachs (GS) experienced a significant decline, with its trading volume dropping by 25.37% to 28.65 billion, ranking 30th in the day's market activity. The stock price fell by 1.13%, marking the third consecutive day of decline, with a total decrease of 17.33% over the past three days.

Goldman Sachs has increased its forecast for a U.S. recession to 45% within the next 12 months, citing the potential impact of President Trump's proposed tariffs as a major concern. The bank has also revised its Q4 2025 GDP growth forecast downward to 0.5% from 1%.

Goldman Sachs anticipates that the Federal Reserve will implement "insurance cuts" to interest rates in response to the rising recession risk. The bank forecasts three consecutive 25 basis point cuts, beginning in June, which would bring the federal funds rate down to 3.5% to 3.75%. In a recession scenario, the bank expects the Fed to aggressively cut rates by nearly 2% over the next year to mitigate the economic downturn.

Goldman Sachs has warned that a recession has become more likely even if Trump retreats from his trade policies. The firm has reduced its expectations for economic growth following a sharp tightening in financial conditions, foreign consumer boycotts, and growing policy uncertainty. These factors are expected to hurt capital spending and slow down economic growth.