Bank of America Raises S&P 500 Forecast for 2024 with Bull and Bear Case Scenarios

Sunday, 3 March 2024, 22:51

Bank of America has revised its S&P 500 forecast for 2024 to 5,400, presenting both bullish and bearish scenarios for the index. Despite a neutral sentiment gauge, analysts predict potential gains, outlining a more optimistic bull case scenario of reaching 6,500 while considering a bear case of S&P 4,100. The article also mentions Barclays increasing its year-end 2024 target for the S&P 500 to 5,300 from 4,800 previously.
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Bank of America Raises S&P 500 Forecast for 2024 with Bull and Bear Case Scenarios

Bank of America Raises S&P 500 Forecast

A note from Bank of America analysts revealed an increase in the S&P 500 forecast to 5,400 for 2024.

Bull and Bear Case Scenarios

The analysts outlined a bull case scenario projecting a rally to 6,500 and a bear case scenario forecasting the index at 4,100.

  • The Bull Case: Lower real rates and an ERP of the 80s/90s, yielding a real cost of capital below 4ppt.
  • The Bear Case: Economic weakness causing lower real rates and a higher ERP.

This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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