Goldman Sachs just dumped a trade recommendation that’s crushed the market over the past 2 years. Here’s why, and what it means for investors.11th February 2019
The strong run for companies with strong balance sheets is over for now, according to Goldman Sachs.
The firm’s equity strategists are pulling the plug on their recommendation to buy a basket of companies with plump assets and strong credit, which they first made two years ago.
At the time, the Federal Reserve had just begun raising interest rates for the first time after the financial crisis. The prospect of rising borrowing costs and the coincidental crash in oil prices made it safer to load up on companies in the strongest position to fight a downturn.Read full story...