Goldman: The Surge In PE Multiples Suggests All The Good News Is Priced In

By Tony Pasquariello, head of Goldman hedge fund sales

They say one should start these things with a bang, so here goes:

• With the exception of a couple of months in 2020, it’s been a full 14 years since the last US recession.

• This was a random thought that occurred when looking at those shaded vertical bars on a long-term chart -- 14 years struck me as noteworthy, if not remarkable.

• In fairness, as Dominic Wilson pointed out to me, having such a deep recession in 2008-09 may have made it easier to have such a long recovery thereafter, and the policy response to COVID was unlike anything we’ve ever seen.