Goldman CEO David Solomon Warns of Policy Uncertainty Amid M&A Optimism at Davos

Goldman Sachs Chairman and CEO David Solomon, speaking ahead of the World Economic Forum in Davos, highlighted a dichotomy among CEOs: optimism about investment potential fueled by stimulative policies and AI infrastructure spending, contrasted with anxiety over inconsistent policymaking. Solomon predicted 2026 could be one of the best merger and acquisition (M&A) years ever, driven by a deregulatory environment, while also expressing concern over geopolitical "noise" and unpredictable government actions. He noted Europe's slower growth compared to the U.S., attributing the gap to weaker capital formation and regulatory implementation. Despite bullish fundamentals, Solomon warned that an exogenous event—such as geopolitical friction or cyber threats—could disrupt the economic trajectory.