Despite the positive performance of the S&P 500 index in the first half of the year, not everyone is optimistic about the future. J.P. Morgan, for example, remains pessimistic about the stock market on Wall Street despite the highs of the index. The bank’s chief strategist, Marko Kolanovic, maintains a bearish position and advises investors to reduce exposure to the market due to concerns about a significant decline.
Kolanovic predicts that economic factors such as a potential crisis or high inflation could lead the Federal Reserve and other central banks to maintain high interest rates, increasing the risk of a hard landing for the economy. This contrasts with the concept of a soft landing, which involves a controlled decrease in inflation without negative impacts on employment or borrowing. Despite some positive economic indicators, J.P. Morgan expects the index to end the year around 4,200 points, a significant decrease from its current levels.
Other analysts have also revised down their forecasts for the S&P 500 citing concerns about a potential recession in the US economy. Petr Brezin of BCA Research predicts that a slowdown in
