"The Market Is Rewarding Quality": Goldman's Chartfest Shows What's Really Going On Under The S&P's Record Highs

On the surface, nothing to see here: the S&P 500 is still hovering near all-time highs. Underneath, it's a very different market, one where the median stock sits 15% below its peak even as the index is only about 2% off its record, according to Goldman's Lev Fin desk.

So what is actually working? In a weekend chartfest (available to pro subs), Goldman's Jacob Malmstrom from the FICC & Equities desk has the answer, and it's not what the AI bulls want to hear:

The Flight To Quality Is Really A Flight From Rates