Corporate earnings are growing much faster than the economy. What Goldman strategists say about bubble concerns.

Goldman Sachs strategists, led by Ben Snider, warn that S&P 500 earnings per share growth could slow down to 11% in the next couple of years, raising concerns about potential market bubbles. This is notable because corporate earnings have been expanding significantly faster than overall economic growth, which could indicate underlying issues in market valuation. While the team acknowledges the risk, they also point out that historically, periods of high earnings growth have not always led to bubbles, suggesting a nuanced outlook on current market dynamics.