Despite forecasts for the area being stronger than those for the United States in terms of profit estimate discounts, Goldman Sachs predicted that emerging stock markets will experience larger reductions in profit estimates.
In a research note, strategic specialists at Goldman Sachs, including Kamakchia Trevidy, stated: “According to Bloomberg, it appears that the huge decreases in the share on the arrow have been deducted in stock assessments in emerging countries.”
According to Bloomberg, Trevidy and his team had a different perspective on emerging markets than Morgan Stanley, notably Jonathan Garner, who predicted the end of the asset market’s downward trend on October 4.
In response to the SCC index for developing markets having the longest journey ever (from peak to lowest level), the growth in the dollar, and the stringent limitations put in place by China as a result of the “Coffee-19,” Garner’s support of emerging markets went from equal weight to weight gain.
The agency drew attention to the fact that despite a temporary ascent of more than two days, the senior Wall Street profits were unable to revive the shares.
In order to improve the overall picture, Goldman’s strategists noted that investors should favour defensive markets because it is difficult for them to build their positions in Latin America, Southeast Asia, the Middle East, and North Africa.
Goldman: Emerging market arrows are ready to further cut profits.
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