Goldman Sachs Asset Management commentary on the market moves .... they've titled it ' 3 takeaways'

You know me, I would have gone on to list

  1. Hamburgers
  2. Pizza
  3. French Fries

But ... of course I wouldn't have stopped at just 3 takeaways.

Anyway, back to GS. Its aimed at investors, bear (no, not a pun) that in mind.

  • We continue to believe global economic fundamentals are strong, even as markets appear to be repricing risk.

More:

1. GS views the risk of a US recession as extremely low

  • But signs of a slowdown in the Chinese economy and the broader emerging markets
  • Europe data point to a modest acceleration in growth

2. The recent selloff is, in our view, a reaction to China's market volatility and currency devaluation (amid struggles for emerging markets more generally), oil prices' drop to multi-year lows, and worries of potential Federal Reserve (Fed) interest rate increases

  • Regarding potential rate increases, we believe recent events may make the Fed less likely to take action in the coming weeks
  • We believe that none of these factors are likely to derail the long-term global economic expansion

3. Investors should anticipate higher volatility, especially in equity markets