**[Goldman Sachs Chief Economist: Market's US GDP Forecasts Are Overly Optimistic]** Golden Finance reports that Goldman Sachs has warned that market estimates for US GDP may be overly optimistic, as the data vacuum during the government shutdown could lead to employment data ultimately dragging down the previously optimistic outlook. Goldman Sachs Chief Economist Jan Hatzius emphasized that during the government shutdown, US GDP estimates surged sharply, with the second quarter projected at 3.8% and the third quarter at 3.3%. According to some estimates, the figures are even higher: for instance, the Atlanta Fed wrote in its October 17 update that third-quarter GDP could reach as high as 3.9%. Despite the continued rise in the stock market, the market broadly expects the Federal Reserve to cut interest rates at least once more before the end of the year. With the growth trajectory seemingly positive, does Wall Street have sufficient reason to celebrate? Hatzius believes: "Not entirely." He warned that employment issues could become a "thorn in the side" of this optimistic outlook, compounded by changes in business behavior in response to shifts in White House policies. Hatzius pointed out: "Household survey results have already been very negative. For example, since the University of Michigan began asking this question in 1978, the expected change in the unemployment rate over the next year has never been as pessimistic during non-recession periods as it is now." Therefore, Hatzius added: "Since labor market indicators typically provide more reliable information about current economic growth than preliminary GDP estimates, this weakness further reinforces our belief that the GDP signals for the second and third quarters are overly optimistic."