Goldman Sachs: S&P 500 index is expected to reach 6000 points, optimistic about mid-cap stocks in the background of interest rate cuts

Goldman Sachs Chief US Stock Strategist David Kostin said that once the dust settles on the US presidential election, the US stock market will continue to rise. Kostin predicts that the S&P 500 index will be around 6000 points in a year. This forecast means that the index will pump about 5% from its record closing level of about 5719 points on Monday. The index has pumped about 20% this year. However, he said that as the showdown between Harris and Trump is likely to be decided at the last moment, investors may have to deal with some market volatility in the coming weeks. Kostin also believes that mid-cap stocks offer opportunities, noting that they have historically outperformed large-cap and small-cap stocks, with lower valuation multiples and better valuations. He also pointed out that mid-cap stocks often outperform the broader market in the 3-month and 12-month periods after interest rate cuts.