Wall Street’s biggest bull, Brian Belski, is making headlines with his revised year-end forecast of 5,600 for the S&P 500 index. In a note to investors, Belski admitted that he had underestimated the market momentum, leading him to revise his prediction to a Street high.
Belski’s initial forecast of 5,100 last November was already considered bold, as the index was at 4,550 at the time. However, as the market continued to soar, other major firms like Goldman Sachs and Deutsche Bank also adjusted their forecasts to match Belski’s.
Despite a dip in April, Belski’s decision to hold firm on his 5,100 target proved to be a wise move as the market rebounded to new all-time highs. Belski attributed this success to an alignment in investor expectations and Fed guidance, as well as positive economic indicators like Wednesday’s retail sales and CPI data.
While Belski’s new forecast of 5,600 may seem optimistic, he also issued a caution about possible turbulence ahead. Historically, the second year of bull markets has seen an average drawdown of 9.4%, indicating that the recent 5.5% drop may not be the worst for the S&P 500 this year.
Overall, Belski’s revised forecast reflects his belief in the strength of market momentum and investor sentiment. As the stock market continues to reach new highs, Belski’s bullish outlook is capturing the attention of investors and analysts alike.