Goldman Sachs’ head of asset allocation research, there is reason for concern given the quick recovery of market confidence after a sharp global sell-off in risky assets.
In an interview with CNBC’s “Squawk Box Europe” on Wednesday, Christian Mueller-Glissmann of Goldman Sachs suggested that investors view the early August market decline as equivalent to “a warning shot.”
Fears of a potential U.S. recession and the unwinding of popular “carry trades” tied to the Japanese yen caused global markets to open the month under tremendous pressure.
Stocks were pulled off historic highs. August 5 saw a 3% decline in the S&P 500, the largest one-day decline since 2022.
Source (CNBC)
