David Kostin of Goldman Sachs highlights a bullish outlook for cyclical stocks amid expectations of robust US economic growth in 2025. Key points include: 1. Above-Consensus Growth Expectations Goldman Sachs economists predict US economic growth in 2025 will surpass market consensus, supported by potential fiscal policy shifts. 2. Cyclicals Outperform Defensives Since Election Day, cyclicals (excluding commodities) have outperformed defensives by 5 percentage points, reflecting optimism in economic activity. 3. Growth Beyond Optimistic Projections Current performance of cyclicals aligns with real GDP growth projections significantly exceeding even Goldman’s optimistic forecasts. This signals strong investor confidence in economic resilience and cyclical sectors' potential.