For investors who just weathered a bout of summer turbulence, Goldman Sachs said expect more patchiness in stocks, but believes the bull market will remain intact.
"However, we think the risk of a bear market remains low with relatively low recession risk, helped by a healthy private sector and central bank easing."
The stock market benchmark has since recouped much of the losses, recently trading some 3.4% below its July 16 all-time high.
A bear market represents at least a 20% decline from the S & P 500's record high, while even a correction would amount to a 10% drawdown.
… Encouragingly, though … we are not staring at a severe slowdown," Bank of America said in a note to clients on Tuesday.
Persons:
Goldman Sachs, Christian Mueller, Goldman, Mueller, Glissmann, …
Organizations:
U.S, Bank of America, Federal Reserve
Locations:
U.S