Goldman Sachs gives very surprising verdict on whether Trump or Harris would boost US economy the most

Goldman Sachs has given a surprising verdict on which presidential candidate will will boost the economy most if they win in November.

Kamala Harris would be better for the US economy if she triumphs over Donald Trump, according to the investment bank.

A democrat win would deliver around 30,000 more jobs a month than under a Republican sweep, new analysis from the bank states. 

The Wall Street giant believes that Harris' plans to help middle class Americans and small businesses would increase consumer spending, benefitting the wider economy. 

That boost would outweigh any negative impact of potential higher taxes on the wealthy and big business, according to the report.  

'A Harris presidency could benefit small and medium businesses as the focus would appear to be on fiscal policies that provide support through tax incentives and grants for startups,' Javier Molina, senior market analyst at eToro told DailyMail.com. 

Harris is also 'expected to lead to higher job creation when compared to Trump, especially if accompanied by fiscal stimulus and expanded tax credits. This could lead to moderate job growth, boosting sectors like renewable energy and infrastructure,' Molina explained. 

By contrast, if Donald Trump wins inflation would rise and economic output would take a hit in 2025, Goldman Sachs report argues.  

The hit would be a result of much tighter immigration policies that Trump has advocated for, and from increased tariff on imports which the former president has threatened.

'We estimate that if Trump wins in a sweep or with divided government, the hit to growth from tariffs and tighter immigration policy would outweigh the positive fiscal impulse,' the bank's report read. 

Increased tariff on goods such as electric cars from China, Mexico and the EU would push core inflation higher, the banks said.

Immigration is widely considered among economists to be a driver for growth as immigrants tend to be younger, boost the labor market and spending. 

Goldman argues that curbing immigration in the ways Trump plans to would remove those growth engines, damaging the country's bottom line. 

The report comes as the contest between Vice President Harris and the former president hots up with less than two months to go until the nation goes to the polls.

43 percent of voters trust Trump more with the economy, compared to 40 percent who trust Harris more, according to a recent Reuters/IPSOS poll.

The economy is a key battleground for candidates as voters emerge from years of inflation, higher mortgage rates and this summer's choppy stock market. 

Goldman Sachs, under CEO David Solomon, has urged both candidates to make small businesses central to their policy platforms. 

The bank has taken out adverts in New York City's Times Square ahead of the debate on September 10 reading: 'Small businesses employ nearly half of American workers. Let's make SMALL BUSINESS a part of the debate.'  

Meanwhile,  a seasoned finance guru has revealed the money moves to make if Kamala Harris wins the 2024 presidential election. 

Sean Bryant warned there will be a 'guaranteed impact' on the US stock market no matter who wins the White House in November - Trump or Kamala Harris.