Goldman Sachs says it's becoming more likely that the US will avoid a recession in 2023. It says stock dispersion is rising, and named the stocks most likely to break out in a flat market.
Goldman has actually been getting more bullish on the US economy recently. The firm wrote that there's now only a 25% chance of a recession, and it raised its year-end target for the benchmark S&P 500 index to 4,000 from 3,600. That only means it's now calling for a flat year instead of a loss, but it's still an improvement.
Kostin said there a lot of growth stocks in the consumer discretionary and tech sectors that are poised to outperform, or underperform, market benchmarks.
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