Goldman Sachs (GS) President John Waldron stated that markets are primed for possible further declines, and investors will be closely watching key earnings results from semiconductor giant Nvidia (NVDA).
“It strikes me the market could pull back further from here,” Waldron said in an interview on the sidelines of the Bloomberg New Economy Forum in Singapore on Wednesday.
“I do think the technicals are kind of more biased for more protection, and more downside.”
Responding to a question on whether AI is an actual bubble, Waldron said Nvidia’s earnings could offer a glimpse into the sector’s prospects as a bellwether and could influence the overall psyche of the marketplace.
In discussing layoffs, Waldron noted that additional job cuts could emerge in 2026 as corporate America adjusts its headcount. He also warned about “more sticky inflationary pressures,” making it “very hard” to bring inflation down materially from current levels.