Reported 9 months ago
JPMorgan's chief market strategist Marko Kolanovic predicts that the S&P 500 Index will plummet to 4,200 by year-end, marking a 23% decrease from its current level. Kolanovic emphasizes mounting challenges such as a slowing economy and downward earnings revisions, cautioning investors about the disconnect between stock valuations and the business cycle. Despite the index's record-setting performance this year, JPMorgan's forecast remains the most bearish among Wall Street's strategists, attributing the surge to factors like artificial intelligence excitement. Kolanovic recommends diversifying with defensive value plays and expresses concerns about excessive concentration in market leadership and exaggerated sentiment that could lead to corrections.
Source: YAHOO