Goldman Sachs CEO David Solomon Says Equities Could Witness Drawdown in the Next 12–24 Months – Here’s Why
Goldman Sachs chief executive David Solomon thinks historical patterns suggest equities could lose steam in the next year or two.
Solomon says in a new interview with Bloomberg that the market is already “looking forward” regarding the excitement surrounding artificial intelligence (AI).
“Markets run in cycles, and whenever we’ve historically had a significant acceleration in a new technology that creates a lot of capital formation and therefore lots of interesting new companies around it, you generally see the market run ahead of the potential. Because there are going to be winners and losers.
They’re going to be winners and losers. If you go back and think about the internet, pick on Amazon – Amazon was one of many companies that was prosecuting that kind of opportunity. Many of the companies went away. Amazon became an incredible company.
You’re going to see a similar phenomenon here. I wouldn’t be surprised if in the next 12-24 months, we see a drawdown with respect to equity markets, but that shouldn’t be surprising given the run we’ve had.”
Solomon, however, says he’s optimistic the US economy will accelerate heading into 2026.
“I think that as the trade policies are absorbed, and you have the continued stimulus and the continued tech spend, you’ve got a pretty good tailwind.”
Generated Image: Midjourney
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Smartest Way to Earn Free Crypto in 2025: Why Bitsmine Is Beating Every Other Cloud Mining Platform
Bitcoin News Update: Kiyosaki Offloads Bitcoin, Invests in New Projects Even With Positive 2026 Forecast
- Robert Kiyosaki sold $2.25M in Bitcoin at $90K/coin to fund surgery centers and an outdoor advertising business, projecting $27.5K/month tax-free income by 2026. - Despite Bitcoin's recent dip below $85K, Kiyosaki remains bullish, forecasting $250K by 2026, aligning with analysts like Arthur Hayes and Peter Brandt who see long-term growth potential. - His strategy reflects a broader trend of investors diversifying into tangible assets amid crypto volatility, balancing high-risk crypto exposure with stabl
Ethereum Updates Today: Ontology's v3.0.0 Release Fuels an Eight-Year Journey Toward a Lasting Web3 Ecosystem
- Ontology launches v3.0.0 MainNet upgrade after eight years, enhancing token economics, network performance, and decentralized governance for Web3. - ONG supply reduced to 800M with 80% allocated to ONT stakers, balancing inflation control and growth incentives through community-approved tokenomics. - Network upgrades include Ethereum EIP-7702 compatibility, improved consensus protocols, and integrated ONT ID for cross-chain identity solutions in DeFi and gaming. - New privacy tools like encrypted messagi
XRP News Today: XRP ETFs Draw $643 Million in Investments, Yet Price Fails to Surpass $2.60 Barrier
- XRP approaches critical monthly close amid $643M ETF inflows driven by Grayscale, Franklin Templeton, and Bitwise, capturing 0.5% of its market cap. - Despite institutional demand, XRP struggles to break $2.60 as whale offloads and derivatives open interest drop 1.7B, creating short-term selling pressure. - Analysts highlight 0.5 Fibonacci and 21-month EMA as key technical thresholds, with 21Shares' upcoming ETF adding liquidity uncertainty amid mixed RSI/MACD signals. - Sustained ETF inflows and institu
Trending news
MoreCrypto prices
More
