What a Fed Rate Hike Could Mean for US Stocks
About this episode
Jonathan Shugar discusses the implications of a potential Fed rate hike on US stocks and investment opportunities.
Investors are pricing in a higher likelihood that the Federal Reserve will hike rates after core CPI inflation rose in August more than economists had estimated. However, a rate hike may not keep the US stock market from climbing higher, says Jonathan Shugar, head of Cross Asset Sales in Goldman Sachs FICC and Equities, on The Markets podcast. Companies reported strong earnings growth in the second quarter, and valuations near the 10-year average are not stretched, he explains. Shugar also discusses why a Fed hike may not restrain investment in artificial intelligence, the risks in longer-term interest rates, and the potential opportunity for investors in consumer experience stocks. This episode was recorded on September 11, 2026. The opinions and views expressed herein are as of the date of publication, subject to change without notice, and may not necessarily reflect the institutional views of Goldman Sachs or its affiliates. The material provided is intended for informational purposes only, and does not constitute investment advice, a recommendation from any Goldman Sachs entity to take any particular action, or an offer or solicitation to purchase or sell any securities or…
Topics covered
- Federal Reserve
- stock market
- inflation
- investment opportunities
- artificial intelligence
- consumer experience stocks
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