Investor attention back to US, bear market seen in 2018

Growing talks on US tax reform has shifted global investor attention back to the US and away from the economic recovery in the European Union, Goldman Sachs’ October marquee QuickPoll suggests. Market sentiment feels even more bullish than after the US election, offering a reminder that “the end of a bull market is still a bull market,” Oscar Ostlund, head of New York Market Strats in the Securities Division, says. The results, taken together, fit a “classic end-of-cycle pattern, but timing the turn is a notoriously difficult task,” Ostlund says. Most of the survey respondents expect reversal to a bear market in 2018.