Goldman slashes S&P 500 target citing higher Fed rates path ...Qatar

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Goldman slashes S&P 500 target citing higher Fed rates path
Goldman Sachs Group Inc slashed its year-end target for the S&P 500 Index to 3,600 from 4,300, arguing that a dramatic shift in the outlook for interest rates moving higher will weigh on valuations for US equities. The higher interest-rate scenario in Goldman’s valuation model supports a price-earnings multiple of 15 times, compared with 18 times previously, strategists including David J Kostin wrote in a note on Thursday. “Our economists now forecast the FOMC will raise the policy rate by 75 basis points in November, 50 basis point in December, and 25 basis points in February for a peak funds rate of 4.5%-4.75%.” Goldman said the risks to its latest forecast are still skewed to the downsid

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