SPY
🏦 Major banks like Morgan Stanley and Citi believe the S&P 500 has found support around 5,500, signaling a potential rebound.
📈 These banks maintain a year-end target of 6,500 for the S&P 500, implying a potential upside of around 15%.
⚠️ Other banks, like Goldman Sachs and RBC, are more cautious, with lower targets, and warn of potential further downside risks.
@bernardodegarcia:
“Morgan Stanley and City point out that the S&P 500 has already reached a possible support point around 5,500, approximately. Morgan Stanley gives up to five reasons for the optimism it is seeing and why it believes the market will move forward from here. First, it sees the market in oversold territory. Second, the attitude of investors and the position of funds has lightened considerably, which is usually a prelude to a rebound because they re-enter with force. Third, there are seasonal factors that would be favorable towards the second half of the month, especially March and April. Fourth, the weakness of the dollar could obviously improve multinational earnings. And finally, lower interest rates this year, and we will see this with the Fed meeting, would encourage positive surprises in economic activity. With all this, the bank maintains its prediction that 5,500 will serve as a floor for a tradable rally. City, for its part, is on the same page. It highlights that the S&P 500’s pullback, a little more than 10%, has put the market at a more rational valuation. In general, City says that all this, all this fall, rebalances the risk-benefit of stocks towards the positive side. Both banks, City and Morgan Stanley, retain their target for the S&P 500 of 6,500 points by the end of 2025, which would imply a current upside potential of around 15%.”
Watch the exact part of the video where @bernardodegarcia talks about the S&P 500 here:
View the video on YouTube.
Read more articles by the world’s top 100 analysts on S&P 500 (SPY) at the following link. SPY stock.
