CFRA Analysis expects the benchmark S&P 500 to nonetheless have extra room to rise over the subsequent 12 months, even with the looming threat of near-term profit-taking. Chief funding strategist Sam Stovall raised the 12-month value goal for the broader market index to six,145 factors, equal to a rise of about 11.3%. The upper forecast would suggest a year-end goal of 5,770 for the S&P 500, or a 4.5% achieve for the benchmark from Wednesday’s shut. Stovall’s earlier year-end goal for the S&P 500 was 4,940. Amongst members in a CNBC market strategist survey, Evercore’s Julian Emanuel has the very best 2024 goal for the broad market index: He is calling for six,000. CFRA mentioned extra steady provide and demand dynamics, coupled with wider market features, supported a extra optimistic outlook. The forecast got here because the S&P 500 posted its greatest day since February on Wednesday, boosted by rising hopes the Federal Reserve would minimize rates of interest in September. .SPX YTD mountain The S&P 500 is up about 17% in 2024. The pattern is constant. The agency added: “Amid indicators that the bull market stays wholesome, with proof of rotation and broad-based demand – an outline that was rightly questioned three weeks in the past – shopping for shares seems to be a wiser choice than promoting. .” In current weeks, buyers have retreated from the biggest expertise shares that powered Wall Road’s features for a lot of final yr. The corporate mentioned this can be a bullish indicator for the broader market. The small-cap Russell 2000 index rose 8% in 2024, a pointy turnaround after a sluggish begin to the yr. The S&P 500 is up about 14% this yr, whereas the Nasdaq is up about 15%. The CFRA report goes on to say that “whereas there’s at all times the chance that current features might be priced in within the quick time period,” buyers ought to “keep the course.”
CFRA raises outlook for S&P 500 Index, predicts it will rise 11% in the next 12 months
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