Macro Pricing - Is There Still Room For Relief

Goldman Sachs argues that global markets have already priced in a recovery from geopolitical tensions, meaning current valuations leave little room for further macro-driven relief. While their baseline predicts higher equities and lower yields, they believe major future moves will stem from either AI structural growth or the realization of unexpected risk scenarios.

Key Takeaways

• 1.The market has already priced in significant relief following the Iran ceasefire, limiting the room for further macro-driven gains.
• 2.Market growth expectations (currently 2.6% for the US) are more optimistic than Goldman's own 2027 forecasts, suggesting limited cyclical upside for equities.
• 3.Future equity performance is likely to depend more on structural AI optimism rather than macro cyclical tailwinds.

Table of Contents

• Macro Pricing—Is There Still Room For Relief?
• Trade Ideas
• Disclosure Appendix