Goldman Sachs: US stocks lack the “fuel” for a significant rally in the short term

Glonghui, July 31 — Goldman Sachs traders believe that U.S. stocks currently lack the "fuel" needed for a major breakout in the short term, and the S&P 500 index may continue to fluctuate within the range observed over the past two months. Although the recent pullback has lowered investors’ positions from extreme levels, overall risk appetite remains limited. In addition, capital flows in August are typically weak and with the U.S. midterm elections approaching, the market may need more time before large-scale buying resumes.