Enjoy the calm now — Goldman Sachs says market volatility may return in October

Market Performance - The S&P 500 rose 3.6% in September, marking its best September since 2010, with notable increases in tech stocks such as the Nasdaq 100, which rose 5.5%, and the Technology Select Sector SPDR Fund, which surged 7.5% [11] - Historically, September is a weak month for stocks, but this year saw a rare strong performance, attributed to AI demand and expectations of Federal Reserve rate cuts [11] October Volatility Expectations - Goldman Sachs anticipates increased global equity volatility in October, historically more than 25% higher than other months, due to corporate earnings pressure and significant macroeconomic events [2][11] - Key events contributing to October's volatility include FOMC meetings, Fed commentary, and the Consumer Price Index report [2][11] Trading Activity - October typically sees peak trading volumes for individual stocks and options, with average daily volumes from 1996 to 2024 being the highest in this month [5][11] - Goldman Sachs suggests that performance pressure drives increased trading activity, presenting opportunities in single-stock options for earnings-driven moves [5][11] Upcoming Tech Events - Several major tech events in October could influence stock prices, including: - Dell Technologies Corporate Analyst Meeting on Oct. 7 - Oracle CloudWorld on Oct. 13 - Salesforce Dreamforce on Oct. 14-15 - Adobe MAX on Oct. 28 [6][10][11] Investment Diversification - Investors are encouraged to diversify across multiple asset classes beyond just stocks, with options such as fractional shares in rental properties and SEC-qualified bonds offering fixed returns [7][8]