Analytical Reviews

Get the latest economic news from ForexMart, including updates on the financial market, central bank policy announcements, financial indicators, and other relevant news which can impact the industry.

Disclaimer:  Information provided here to retail and professional clients does not contain and should not be construed as containing investment advice or an investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance.

UBS: the reasons why the S&P 500 index may grow by another 5%


May, 15 2024
watermark Economic news

According to strategists at Swiss bank UBS, the US S&P 500 index may reach 5,500 points this year, which implies an increase of 5%.


The main factors that could contribute to growth include disinflation, lower Fed rates, increased corporate revenues, and continued investment in artificial intelligence. At the moment, when almost all companies in the index have already published their reports, average revenues, especially in the technology sector, remain high: profits have been revised up by 7% since March. A decrease in market volatility may also stimulate a summer rally.


It is predicted that by the end of this year, the S&P 500 index may reach the level of 5,500 points. Recently, in April, the index fell 4.5% from its peak due to negative inflation data, which increased concerns about further interest rate hikes by the Fed.


However, in early May, some of these concerns abated due to a slowdown in wage growth in the United States and the overall stability of the economy.


  • The key factors contributing to the growth of the stock market are a further decrease in inflation and a slowdown in price growth, which makes an increase in interest rates unlikely and stimulates the growth of stocks.


  • In addition, the stock continues to grow steadily due to increased corporate profits. More than 75% of companies exceeded revenue forecasts.


  • And finally, continued investments in artificial intelligence will also contribute to further market growth.

コメントする

ForexMart is authorized and regulated in various jurisdictions.

(Reg No.23071, IBC 2015) with a registered office at Shamrock Lodge, Murray Road, Kingstown, Saint Vincent and the Grenadines

Restricted Regions: the United States of America, North Korea, Sudan, Syria and some other regions.


© 2015-2024 Tradomart SV Ltd.
Top Top
Risk Warning:
Foreign exchange is highly speculative and complex in nature, and may not be suitable for all investors. Forex trading may result in a substantial gain or loss. Therefore, it is not advisable to invest money you cannot afford to lose. Before using the services offered by ForexMart, please acknowledge the risks associated with forex trading. Seek independent financial advice if necessary. Please note that neither past performance nor forecasts are reliable indicators of future results.
Foreign exchange is highly speculative and complex in nature, and may not be suitable for all investors. Forex trading may result in a substantial gain or loss. Therefore, it is not advisable to invest money you cannot afford to lose. Before using the services offered by ForexMart, please acknowledge the risks associated with forex trading. Seek independent financial advice if necessary. Please note that neither past performance nor forecasts are reliable indicators of future results.