Goldman says market underestimating coronavirus risk: 'Correction is looking much more probable'

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Goldman Sachs sounded the alarm about a possible correction in the stock market, noting investors are underestimating the coronavirus risk.

Goldman Sachs sounded the alarm on Wednesday to clients about a possible correction in the stock market, noting investors are underestimating how big of a risk the coronavirus really is.

"We believe the greater risk is that the impact of the coronavirus on earnings may well be underestimated in current stock prices, suggesting that the risks of a correction are high," strategist Peter Oppenheimer wrote in a note. Investors have been grappling with the possible ramifications of the coronavirus outbreak in recent week. But except for a few pullbacks, the major U.S. stock indexes have taken the news in stride. On Wednesday, the S&P 500 and Nasdaq Composite jumped to record highs. Oppenheimer thinks the market could be in trouble if earnings expectations aren't ratcheted down.

"Equity markets are looking increasingly exposed to near-term downward surprises to earnings growth," said Oppenheimer. "While a sustained bear market does not look likely, a near-term correction is looking much more probable."for exclusive insights and analysis, and live business day programming from around the world.

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Bullish

goldman want to buy more in short term.

Yeah maybe, not till Q2 tho

keesdekortbnr RoyceTostrams Breaking911 apanalis BancoDeEspana FundUnicaja UnicajaBanco bancosantander santander_es ING_Economics ING_news IMFNews ecb TheStreet

Well we will run up 10 pct and then get a correction to come right back to where we started (yeah I know up 10 then down 10 pits you in the red, but you get my point).

Goldman is not looking T the difference in the underpinning of the market today as opposed to the Bush/OBama years. A vast difference. Recession resistant/correction resistant. 1. Low interest rates. 2 energy independent/stable pricing. 3 Deregulation4. Job creation.

Bsetexast

Who the Fuck is Goldman?

GregMannarino

Day 20/01/19, 200 cases, a month later 75.000, X375. Now x100 in another month would be enough for 7.5 million cases. 😷🙏

Warren's purse is stronger than the virus.

Today, Death toll surpasses 2,000 in China coronavirus outbreak, with over 75,000 confirmed cases globally. 24 days Quarantine needed

listen to the hubei citizens. Their government is threatening them to not talk about their truth! Share more about the hubei people please. Thousands of people have been cremated already and where are those numbers? They're lying to all of us!

CNBC is over hyping coronavirus and will look foolish yet again

That means buy more $xrp thanks for the tip xrp xrpcommmunity xrpthestandard

CRASH!

you guys gona pin this one the virus and not the fact that the FED has been printing trillions and inflating the economy

Goldman aka criminal racketeering organization disguised as investment bank?

Bullish time , thanks

Market needs to go down so Goldman can buy the dip before market goes even higher.

Now that I actually agree with.

GS: “Corrections but no mo’ recessions”

As in correction they mean a 1% market drop? Pretty sure the Great Recession of 2020 was last week

Now they start to work with their exceuses... So predictable... criminal market

And yes. I True man

So buy more, thanks

Stop stop. You seriously? Nooou, nou coronovirus, just business 🦄

Goldman underestimating Central Bank QE due to covid19 risks

Lost money in market making?

you wish

signal to go all in

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