Negative US futures discount Goldman Sachs’ decision to cut US GDP growth outlook this year and next.
S&P 500 futures lost 0.37% to 4,366 points; futures on the Dow Jones fell by 0.22% to 34,522 points; futures on the Nasdaq fall by 0.60% to 14,720 points.
Goldman Sachs analysts now predict for 2021 an expansion of US GDP equal to + 5.6% on an annual basis, against the + 5.7% previously expected, and for 2022 a growth of 4%, against + 4.4% previously estimated.
Goldman predicts “a more delayed recovery in consumer spending, and a longer-lasting impact of the Covid pandemic on spending for those services most vulnerable to the virus.” Furthermore, according to the experts of the US banking giant, “the supply of semiconductors will not improve until the second half of 2022”, and this “factor will postpone the phase of re-accumulation of stocks”, to the detriment of GDP.
Wall Street looks set to open the week of lower trading, after last week’s positive performance, which saw the Dow Jones climb 1.2%, thus bringing back the best week since last June 25th.
The benchmark index of the S&P 500 also recovered, recovering from the loss of 4.8% in September. The list has been up 2% since the beginning of October and is 3% below its record level.
Protagonist among the Merck stocks, after the American pharmaceutical giant announced that it had submitted a request to the US authorities for the release of the authorization for the emergency use of the pill against Covid-19, which it developed together with Ridgeback.
Merck announced a few weeks ago that taking the anti-viral drug had reduced the risk of hospitalization or death by 50% for mildly or moderately ill patients.
Today the Treasury market is closed for the Columbus Day holiday.