Goldman Warns Continued Market Recovery Hinges on Rates Relief

The recent stock market rally that has driven both the S&P 500 and Nasdaq 100 to records needs central banks to pivot back toward rate cuts to sustain its momentum, according to Christian Mueller-Glissmann, head of asset allocation research at Goldman Sachs Group Inc.

Mueller-Glissmann described the recent equity rebound as a “fast and furious recovery phase” driven partly by technical factors, including hedge funds that had previously sold down stocks to reduce risk and are now being forced to re-enter positions.