The S&P 500 (^GSPC) bull market, which commenced two years ago, shows no signs of abating as it remains buoyed by the excitement surrounding artificial intelligence and a surprisingly robust U.S. economy. The index has surged more than 60% over the past two years and is currently trading close to its all-time high.
Wall Street strategists, in discussions with Yahoo Finance, express confidence that the bull run can persist. They foresee a clear upward trajectory, supported by accelerating earnings growth and a stable economic backdrop, particularly as the Federal Reserve prepares to lower interest rates. The bull market was officially recognized in June 2023 when the S&P 500 increased by 20% from its recent bear market low.
Historically, this bull market is still in its early stages. At two years, it is well below the average duration of 5.5 years, and the total return of around 60% pales in comparison to the average gain of 180%, according to research by Ryan Detrick, chief market strategist at Carson Group.
In recent weeks, numerous Wall Street equity strategists have indicated their belief that the benchmark index will continue its ascent, projecting further gains as earnings for the S&P 500 accelerate into the year-end and into 2025.
“We continue to be surprised by the strength of market gains and decided yet again that something more than an incremental adjustment was warranted,” noted Brian Belski, chief investment strategist at BMO Capital Markets, in a September report where he raised his year-end price target for the S&P 500 to a record high of 6,100, up from a previous estimate of 5,600.
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