A stock trader at work at the New York Stock Exchange on February 24, 2020.Johannes Eiselle/Getty Images
After a strong 2023, investors biggest question is whether the stock market rally can continue next year.
Business Insider has compiled a comprehensive list of Wall Street’s 2024 stock market outlooks.
From recessions to bull markets, here’s what the top analysts expect for the S&P 500 next year.
After a dismal 2022, stocks soared in 2023, with the S&P 500 and Nasdaq 100 jumping more than 20% and 50%, respectively.
A resilient economy, moderating inflation, and the potential peak in interest rates helped investors overcome fears of a potential recession and jump back into stocks. Now the biggest question investors have is whether the strong market rally can continue into 2024, and is an economic slowdown and subsequent stock market crash imminent.
Business Insider has put together a complete rundown of the top Wall Street forecasts for the stock market in 2024.
From economic recessions to the continuation of the bull market, here’s what Wall Street expects to happen next year.
BCA Research: bearish, S&P 500 price target of 3,300
The S&P 500 could experience its worst crash since 2008 next year as a recession kicks off, according to the 2024 outlook of BCA Research.
“A recession in the US and euro area was delayed this year but not avoided. Developed markets (DM) remain on a recessionary path unless monetary policy eases very significantly. As such, the risk/reward balance is quite unfavorable for stocks,” BCA Research said.
The stock market could avoid such a steep drawdown next year if the Federal Reserve swiftly cuts interest rates, but BCA Research isn’t holding its breath as they don’t expect inflation to fall quickly.
“We remain in the disinflationary camp, but expect that inflation will not slow quickly enough for the Fed and the ECB to cut rates in time to prevent a significant rise in unemployment. Unless a recession occurs imminently or inflation completely collapses, the Fed is unlikely to cut rates before next summer,” BCA Research said.
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