Deutsche Bank chief global strategist outlook for the benchmark US equity index:

S & P 500 to rise as high as 7,000 year-end 2025

  • “We see S & P 500 buybacks rising from an annual run rate of $1.1 trillion currently to about $1.3 trillion next year, rising in line with earnings.
  • We see the demand-supply backdrop for U.S. equities remaining solid even with conservative assumptions, pushing the S & P 500 to around 7000 next year.”
  • sees stronger US economic growth due to potential tax cuts and a deregulation push under the incoming administration

Caveats:

  • “main downside risks are more likely to emerge if greater weight is put on aggressive trade and immigration policies”
  • “could be more negative for growth and push up inflation."
  • would lead the Fed to cease its interest rate cutting cycle
  • Fed could possibly contemplate restarting rate increases

***

There you go, a couple of scenarios to watch out for.

S&P 500, 7000 is off the charts! Well, this one anyway:

S&P 500 26 November 2024 2