Goldman Sachs chief executive officer David Solomon expects capital markets to be more robust next year.

The mentioned statement was made by the head of the specified financial institution during a conversation with media representatives on Wednesday, November 20.

It is worth noting that the point of view of David Solomon is part of a kind of series of positive forecasts regarding the state of affairs in the US financial space and the economic system of this country as a whole. The favorable vision regarding the future in the mentioned measurements of the existence of the United States as a large-scale system with many dimensions is because inflation is currently demonstrating a tendency to a consistent decline. The corresponding sentiments are observed, despite the fears of some experts that the potential implementation of the intentions repeatedly declared by Donald Trump, who won the US presidential election this month, to raise tariffs on imported goods may provoke a rapid price increase. The materialization of such a scenario would mean the cancellation of a significant part of Washington’s progress in combating inflation over the past two years.

It is also worth noting that several business executives and investors currently expect the number of corporate dealmaking to increase in the United States next year. These forecasts are based on the assumption that the Donald Trump administration will take a more favorable position toward mergers compared to the approach of the administration of the current US President Joe Biden.

There are widespread expectations among healthcare executives and investors for an increase in the number of initial public offerings (IPOs) of shares in 2025. At the same time, Jefferies’ annual healthcare report, published this week, noted that ongoing geopolitical tensions are overtaking funding challenges. This circumstance is a significant risk in terms of the prospects for the materialization of the mentioned optimistic expectations. It is worth noting that the continued increase in tension in the space of geopolitical relations is a negative factor for all production sectors and segments of the economy in the context of the potential of raising investments. At the same time, assumptions are implied in this case, not inevitable scenarios. Optimism about dealmaking may be confirmed by reality next year.

Moreover, markets may be the beneficiaries of improved investor sentiment. Also, the favorable outlook for the markets is partly due to the high probability that the Federal Reserve will continue cutting interest rates.

As we have reported earlier, Goldman Sachs Cuts US Recession Risk.