Goldman Sachs estimate ‘forced savings’ will rise to $2.4tln, spending wave ahead

News

More fuel for US stocks ahead if GS are right about this:

  • households have already accumulated about $1.5tn in ‘excess’ or ‘forced’ savings
  •  we expect that to rise to about $2.4tn, or 11% of GDP, by the time that normal economic life is restored around mid-year

GS add they expect 20% of the excess savings will be spent in the first year 

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