Goldman Sachs cut its U.S. economic growth target to 5.6% for 2021 and to 4% for 2022 referring to an anticipated decrease in fiscal support through the end of next year and a more delayed recovery in consumer spending than previously expected.
The firm expected 5.7% gross domestic product (GDP) growth in 2021 and 4.4% growth in 2022. They referred to a longer-lasting virus drag on virus-sensitive consumer services as well as a goal that semiconductor supply likely will not grow until the first half of 2022. This delays inventory restocking until next year.
However, it increased its fourth-quarter 2022 estimate to 1.75% from 1.5%. Investors have been pouring money into India’s stock market, and it could grow to more than $5 trillion to become the fifth largest in the world within three years. Indian start-ups have raised $10 billion through IPOs so far this year, more money than was raised in the last three years, the investment bank said in a report dated Sept. 19.