Goldman Sachs: Here’s How Much the Turmoil in Financial Markets Could Hurt U.S. Growth
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A stucco crew plasters the exterior of a new two-story home at the Lennar Corp. Madison Pointe at Central Park development in Doral, Florida, U.S., on Wednesday, Aug. 12, 2015.
The Federal Reserve might not be too worried about the billionaires who saw their net worth take a ten-figure hit during Monday’s plunge in equity prices, but monetary policymakers will have to be concerned about how the broader tightening in financial conditions could hurt the U.S. economy’s growth prospects going forward.
Goldman Sachs’ U.S. Financial Conditions Index, which tracks changes in interest rates, credit spreads, equity prices, and the value of the greenback, rose to a five-year high on the heels of the market turmoil:
Goldman Sachs: Here’s How Much the Turmoil in Financial Markets Could Hurt U.S. Growth
