It seems that December rate cut is inevitable with more coming in 1Q 2026. Here are some other predictions for the entire 2026:
BoA: 7100 JPM: 7500 HSBC: 7500 RBC: 7750 Morgan Stanley: 7800 Deutsche: 8000
The headwinds are the economy, unemployment, uncertainty regarding inflation, tariffs, AI.
The tailwinds are: a stock market only loosely linked to the broader economy.
My prediction for 3/31/2026: 7092