The bear market in stock markets is forecast to intensify before giving way to more hopeful signals later in 2023, according to Goldman Sachs Research.

The MSCI All Country World Index of global equities has fallen about 19% this year. Even as stocks have risen somewhat since the summer, our strategists forecast more volatility and declines during this bear market before reaching a low later in 2023. They expect interest rates to peak and for the deterioration in economic growth to stabilize before a sustained rally in equities gets underway.