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US stocks hit 14 new highs within a month, momentum stocks surged; Goldman Sachs reviewed 40 years of history: similar market conditions typically see a pullback after one month.
The momentum factor at Goldman Sachs surged 25% over the past three months. Historically, there have been 11 instances of similar sharp increases in momentum, which typically peaked and reversed after continuing for about one additional month. When the S&P 500 is near its highs, such rapid momentum surges often signal below-average equity returns in the subsequent months. Goldman Sachs maintains its year-end target for the S&P 500 at 7600 points, indicating an upside potential of only approximately 1% from current levels.
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oh man : rise