Goldman Sachs: The fluctuations around this time of year are "normal" and nothing "abnormal."

Goldman Sachs reports that the recent approximately 5% pullback in the US stock market is a typical year-end seasonal fluctuation in the AI cycle and does not signal an end to the rally. Goldman Sachs traders point out that despite the market’s correction, there is still room for gains before the end of the year. Factors such as seasonal trends, the early stage of the AI investment cycle, and relatively light institutional positions collectively suggest that the indices still have potential for further gains. According to Shreeti Kapa, a trader in Goldman Sachs’ Fixed Income, Foreign Exchange, and Commodities division, a 5% decline at this time of year is normal for this cycle. She believes that although the market has experienced a strong rebound since the April lows, overall, it is not excessive.