Goldman Sachs' trading department expects the S&P 500 to hit a new high this week, which may trigger market FOMO sentiment

Scott Rubner, managing director and tactical expert of Goldman Sachs Global Markets, believes that strong capital flows from corporate buybacks and systematic investment strategies are expected to push the SP 500 to a record high this week, further strengthening investors' fear of missing out (FOMO). Rubner said: "We estimate that non-emotional demand from machines and companies this week is $17 billion per day, and the three-week stock trading window is very favorable until September 16." Goldman Sachs' simulation of commodity trading advisors (CTAs) for the next week shows that these funds may buy stocks regardless of how the market trades. In addition, last week, Goldman Sachs' corporate buyback department saw the largest demand of the year, more than twice the same period in 2023, and Rubner expects buying to be strong before the quarterly quiet period on September 13.