Reuters Survey: S&P 500 Index to Target 7490 Points Next Year, Potential Pullback in the Next Three Months

BlockBeats News, November 26th, Reuters' survey of stock market strategists showed that the S&P 500 index is expected to rise by about 12% from its current level to the end of 2026, driven by a healthy U.S. economy, strong performance of tech companies, and the Federal Reserve's maintaining loose monetary policy.

Based on the median forecast from a survey of over 45 strategists, analysts, and portfolio managers from November 14th to 25th, the S&P 500 index is projected to close at 7490 in 2026, up 11.7% from its current level.

If the stock market closes higher in 2025, it will mark the fourth consecutive year of gains for the benchmark index. Among the 14 respondents who answered additional questions, 8 believe there is a higher likelihood of a pullback in the S&P 500 in the next three months.

Analysts pointed out that the risks to the overall optimistic forecast include a potential rise in inflation and uncertainty about the outlook for interest rate cuts. The survey predicted that the Dow would close next year at 50,566, up over 7% from the current level, with the index closing at 47,112.45 on Tuesday. (FXStreet)