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Bloomberg
A global trade war is looming and emerging markets are plunging. Time to pile into US stocks.
That’s the message from Wall Street prognosticators, who have stuck with full-year forecasts during a first half that’s been anything but smooth. After a torrid start to the year, the S&P 500 plunged into its first correction since 2016 and spent the next four months struggling to recover.
Undeterred, strategists now are effectively calling for a second half that would be one of the strongest of the nine-year bull run.
Among 25 strategists surveyed by Bloomberg, 17 expect the index to surpass its January highs. At 2,944, their average year-end prediction represents roughly an 8 percent increase by December. The group’s been that optimistic at midyear only two other times since 2009.
Their optimism proved spot on in 2010, as the S&P 500 rallied 22 percent from July to December.