Clients Not Worried About Debt Ceiling: Goldman Sachs

In their ‘US Weekly Kickstart’ report of October 11, Goldman Sachs analysts David J Kostin, Stuart Kaiser, Amanda Sneider, Ben Snider, Rima Reddy and Aaron Woodside say earnings data could take up the slack from a paucity of macro data due to the government impasse.

Clients essentially unconcerned with the debt ceiling

The analysts report that clients are almost universally sanguine that a solution to the fiscal logjam would be thrashed out at the last minute, and choose to focus instead beyond Washington at the equity markets.

Clients’ attitudes are reflected in the performance of the Goldman Sachs Group Inc (NYSE:GS) ‘Government Austerity Basket’ – stocks whose revenues are dominated by government spending, and which could be adversely...