Stocks are taking today's inflation data in stride as Wall Street wraps up a positive February - but according to the CEO of Goldman Sachs (GS), David Solomon, investors might be overly optimistic about the possibility of a “soft landing” in the U.S., based on what his firm is seeing.
While Solomon noted earlier this week at the UBS Financial Services Conference that the “velocity of inflation” has slowed down, he also cautioned, “I’ve talked to a bunch of CEOs that operate businesses that would have good insight into what I’ll call a more paycheck-to-paycheck kind of spending behaviors. I think that in the last few months you see a pattern of those behaviors tightening up, which means that the lower part of the economy is a little softer.”
