Goldman Sachs Exchanges What Trump’s win means for markets and portfolios
9 snips
Nov 7, 2024 Christian Mueller-Glissmann, Head of asset allocation research at Goldman Sachs Research, and Brian Garrett, co-lead of the equity execution team, dive into the market's strong response to Trump's election win. They discuss the sharp rises in stocks, bond yields, and the dollar while exploring sustainable investment strategies in underperforming sectors. The conversation also touches on the impact of political changes on market volatility, interest rates, and the unique dynamics emerging as the 2024 financial landscape unfolds.
AI Snips
Chapters
Transcript
Episode notes
2016 Playbook
- Clients were underweight risk going into the election, anticipating a potential Trump sweep.
- They engaged in trades like long banks, technology, and energy, mirroring 2016.
2024 vs. 2016
- While some 2016 trends are repeating, the current environment differs with higher rates and equity multiples.
- Themes like tax cuts, beneficial M&A, and bank deregulation remain relevant.
Surprising Price Action
- Renewable energy stocks saw a surprising drop due to potential IRA changes.
- The VIX also moved sharply, as the election outcome was faster than anticipated.