Yahoo Finance’s On The Move panel share what stories they’re watching on Tuesday.

Video Transcript

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ADAM SHAPIRO: Surf's up in Goldman Sachs' latest version of "Beach Blanket Bingo." A blue wave, really? Brian Cheung is going to tell us what this all means. And we're not going to bring in Annette Funicello or Frankie Avalon. Brian.

BRIAN CHEUNG: Yeah, no, we won't at all. But Goldman Sachs, as you mentioning, thinking about the economic implications of a blue wave, which would imply that Biden wins the election and then the Democrats can also take the US Senate, which the Republicans control right now. Goldman Sachs estimating that a blue wave could lead to a $2.5 trillion stimulus plan. Of course, that would not come until the first quarter with inauguration in late January of next year. And then, they also expect that to be followed by some sort of infrastructure and climate legislation.

Now, the Goldman Sachs economists also saying that, yes, they do acknowledge the impact of the proposed tax hikes from the Biden administration, which would affect those earning more than $400,000 a year. They did say that, yes, that could be to some hit, but that, ultimately, it would be outsized by the magnitude of that stimulus plan. So Goldman Sachs saying that that could provide some windfall to the US economy.

Now, of course, this is extremely important because we have a lot of economists trying to bake-in forecasts through the next year, but this election uncertainty really making it difficult for them to forecast that. So this is just one example of a Wall Street bank trying to do that. But as we know, Adam, all of this will shake out in about two weeks.