Stock Market Might Only Gain 13% Through 2020: Goldman

New York (Jan 9)  The bull market is strong now, but how long can it last?  According to Goldman Sachs analysts, the bull market will continue through 2020, albeit at a much more modest pace. After investors enjoyed an impressive 19.4% gain in the S&P 500 during 2017, Goldman said in a note on Monday, Jan. 8, that the index will gain only 13% through 2020.

Analysts estimate the end of 2018 will find the S&P 500 around 2,850, or about 7% above its current level. Through 2020, earnings growth will be the "dominant driver" of the S&P 500 pushing to 3,100, with earnings in 2018 growing by 14% to average $150. Additionally, deregulation and tax reform have pushed small business optimism to its highest level in 35 years, Goldman wrote.

TheStreet