Goldman Says Profit, Dividend Growth to Drive Stocks in 2026

Group 1 - The expectation is for US interest rates to decrease to around 3% by mid-next year, which, along with ongoing economic growth and a moderation in the dollar, creates a favorable environment for risk assets and equities [1] - Technology stocks continue to dominate the US market, comprising almost 40% of the index and performing well, but diversification has proven effective this year as the US stock market has underperformed compared to other equity markets, including the UK [2] - There is a broadening out in market performance, although aggregate upside is limited due to high valuations; however, profit and dividend growth are expected to drive equities [3]