Yea, it's entirely impossible for a stock market to go up when actual earnings and earnings estimates come down. Never ever happened historically *cough*.
Market up huge today. No one cares what GS thinks. We're still in a bull market which began on October 2002.
The stock market is a play on the declining US dollar and lowered interest rates. Sure the financials may go bankrupt, but I personally would trust the stock market to retain my wealth far more than I would putting it into cash with a negative real yield, or into longer-term bonds which will probably be off to slaughter sooner or later. Liquidity amongst S&P500 firms has almost never been higher, and they're literally sitting on mountains of cash. Who cares if earnings growth doesn't materialize, at 2% Fed Funds or lower, as long as you don't pay more than 50X earnings, you're still earning a positive carry. IMHO, you could go seriously broke by following the advice of GS and others.
Goldman hahaha what a crock, if they say this think just the opposite. They are full of lies and deceit, they would slit they own childs throat for $$$$$$$$ they worship $$$$$$.