The S&P 500 Just Notched a 5-Month Win Streak. The Stock Market Usually Does This Next.

From Yahoo Finance: 2024-03-31 04:35:00

The S&P 500, covering 80% of U.S. equities, has surged 25% in the last five months, driven by strong growth and Fed rate cut expectations. A history of five-month win streaks suggests a potential 12.5% gain in the next year. But economic headwinds and high valuations could lead to stock market volatility. Despite uncertainty, long-term investors have historically reaped 10.5% annual returns over three decades. Analysts caution that the S&P 500 may face correction, with targets indicating a potential 20% downside. For now, investors are advised to focus on long-term economic indicators rather than short-term market momentum.



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