U.S. stocks have risen broadly since President Donald Trump’s November election, in large part on optimism that his administration would push through legislation that would stoke consumer demand and support companies through deregulation. That optimism persists more than six months into Trump’s term, even if there have been few signs of tangible progress on these issues.
That conclusion comes courtesy of Goldman Sach’s “Beige Book,” a quarterly examination of how management teams for S&P 500 SPX, +0.38% companies are reacting to the economic environment.
“Many executives noted that sentiment and growth expectations continue to be optimistic, but few managers have seen them manifesting in higher demand,” the report read. “Some companies highlighted a distinct change in mindset among their clients. Others expressed optimism about the prospect of accelerating economic growth, but noted that they have not yet seen a notable pickup in activity.”
