Goldman Sachs boosts U.S. GDP estimate, sees COVID relief at $1.5 trillion
- Wall St. opens lower as Netflix slides, virus cases rise
- Netflix (NFLX) Plunges Following Q1 Sub Miss, But One Analyst Sees Chance to Turn Bullish
- Oil prices drop as India's COVID-19 surge dents demand outlook
- Intuitive Surgical (ISRG) Q1 Beat Prompts Two Street Upgrades
- Dollar firm as COVID-19 resurgence dampens risk appetite
FILE PHOTO: A view of the Goldman Sachs stall on the floor of the New York Stock Exchange July 16, 2013. REUTERS/Brendan McDermid
Get inside Wall Street with StreetInsider Premium. Claim your 1-week free trial here.
(Reuters) - Economists at Goldman Sachs Group Inc on Monday bumped their U.S. GDP forecast for the second quarter up to 11% from 10% and said additional fiscal measures are likely to be valued at $1.5 trillion, up from their previous $1.1 trillion estimate.
On an annual basis, they raised their forecasts for 2021 and 2022 growth by 0.2 percentage points each, to 6.8% and 4.5%, respectively.
The bank's economists also said that they had brought forward their forecast for the first rate hike by the Federal Reserve from the second half of 2024 to the first half in light of the upgrade to the growth forecast, the larger-than-expected decline in the unemployment rate in January, and signs of a "firmer" inflation outlook.
"We expect the FOMC to start tapering its asset purchases in early 2022," the note said.
(Reporting by Kanishka Singh in Bengaluru; Editing by Sonya Hepinstall)
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Johnson & Johnson (JNJ) PT Raised to $204 as Goldman Sachs Sees S&P Discount Unwarranted
- New China Life Insurance Co Ltd. (601336:CH) (NWWCF) PT Lowered to HK$37.50 at Goldman Sachs
- Brunswick Corp (BC) PT Raised to $120 at Jefferies as High HP Competitive Advantage Boosted by Reopening
Create E-mail Alert Related CategoriesAnalyst Comments, Economic Data, Reuters
Related EntitiesGoldman Sachs, Federal Open Market Committee
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!