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Goldman now sees a 35% jump in Q3 GDP, much higher than the rest of Wall Street

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Key Points
  • Goldman Sachs economists said they recently raised their third quarter GDP growth forecast to 35% from 30%, and they say consumer spending was a big reason for their above consensus forecast.
  • Even with reduce unemployment benefits, consumers continued to spend in late summer, possibly because of second quarter savings.
A person wears a protective face mask while carrying grocery bags outside Trader Joe's on August 11, 2020 in New York City.
Noam Galai | Getty Images

Goldman Sachs economists said they see third quarter GDP growth tracking at 35%, driven in large part by the surprising strength of consumer spending.

Goldman said its tracking forecast is now 14 percentage points ahead of the Wall Street consensus, and it sees the consumer contributing 12 points of that gap.

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