We expect a slight (50-75p) pullback before the next leg higher kicks in, ideally to 7000+, possibly as high as 7120. Then the chances for a prolonged multi-month correction to 5400-6200 increase again.
Regardless of whether you're an everyday investor or experienced advisor, the rebalancing of the S&P 500 is always worth keeping a close eye on. Later today, after the market closes, we'll learn what companies will be added and removed to the S&P 500 later this month.
Marvell and Carvana are intriguing candidates, but the index committee could opt for some smaller names if it chooses to announce changes Friday afternoon on its quarterly cadence.
As AI continues to power market momentum, a diversified approach is key. Here are some ETFs that can help investors benefit from the AI rally without overexposure.
Ares Management could be a buying opportunity for anyone willing to make a bet on potentially overstretched private credit.
Wall Street sees the S&P 500 hitting 7,500-8,000 in 2026 on AI-fueled earnings growth and rate-cut hopes. ETFs like VOO, IVV and SPY stand to benefit.
“Even if such support levels within the uptrend were violated, my takeaway was that such a scenario did not guarantee a correction, but would up the ante on correction risk
Black Friday sales rise, Bitcoin tumbles below $90,000 again, Thanksgiving travel disrupted, and more news to start your day.
Global X S&P 500 Covered Call ETF (XYLD) offers a high 12.79% yield but is rated Hold due to value-destructive distributions. XYLD's covered call strategy caps upside while exposing investors to full S&P 500 downside, resulting in inferior total returns and risk-adjusted performance. Despite lower volatility metrics, XYLD's maximum drawdown closely matches the S&P 500, providing only the illusion of safety for income-focused investors.
ETFs to watch as Wall Street turns upbeat, with bullish forecasts putting the S&P 500 on track for 8,000 by 2026.
JPMorgan Chase & Co (NYSE:JPM, XETRA:CMC) forecast the S&P 500 could climb to 7,500 by the end of 2026, and potentially exceed 8,000 if the Federal Reserve eases monetary policy more aggressively than expected, according to its 2026 Global Equity Outlook. The bank's baseline projection assumes two additional Fed rate cuts and 13% to 15% annual earnings growth for US companies, underpinned by a resilient economy and an investment surge in artificial intelligence technology.
JPMorgan has an optimistic view on U.S. stock markets next year, and AI momentum will be playing a starring role.