Valuation – Price-to-Forward Earnings Ratios The U.S. stock market maintains a premium valuation compared to global markets, with the exception of India, leaving little room for error as it’s priced for perfection. Image: Goldman Sachs Global Investment Research
Energy Prices vs. Fed Rate Cuts Energy prices have historically risen after the Federal Reserve begins cutting interest rates. Image: MarketDesk Research
U.S. ISM Services Prices Paid Index vs. U.S. CPI Inflation (Leading Indicator) The U.S. ISM Services Prices Paid Index typically leads U.S. CPI inflation by three months, suggesting that changes in the index may predict future CPI trends. Image: Deutsche Bank
Gold Price Forecast The combination of robust central bank buying, anticipated Fed rate cuts, and escalating geopolitical tensions supports a bullish sentiment among strategists for gold prices reaching $3,000 per ounce by late 2025. Image: Bloomberg
S&P 500 Price Target Strategists tracked by Bloomberg expect a favorable environment for the S&P 500 in 2025, predicting continued growth, with forecasts ranging from steady performance to a target of 7,100, indicating a potential 19% rally. Image: Bloomberg
S&P 500 Price Targets While bullish predictions for 2025 are possible, they are tempered by significant challenges stemming from high market valuations, economic uncertainties, and the potential for continued inflationary pressures. Image: Real Investment Advice
S&P 500 Price Target Morgan Stanley’s bull case scenario predicts the S&P 500 could reach 7,400 by the end of 2025, representing significant gains from current levels. Image: Morgan Stanley Wealth Management
S&P 500 2025 Price Target Fundstrat’s Tom Lee forecasts a bullish first half of 2025, with the S&P 500 expected to hit 7,000 by mid-year before falling to 6,600 by year-end, due to potential impacts from tariffs and DOGE on GDP. Image: Fundstrat Global Advisors, LLC
U.S. Consumers – Stock Prices and Income Expectations U.S. consumers are experiencing a notable rise in optimism regarding stock market returns for the next 12 months, but this may lead to disappointment as their outlook on income growth does not reflect the same enthusiasm. Image: Deutsche Bank
Gold Holdings vs. Gold Price The outlook for gold remains bullish, driven by falling interest rates and sustained central bank purchases, with multiple forecasts converging around the US$3,000 mark for gold prices by the end of 2025. Image: Goldman Sachs Global Investment Research
Valuation – S&P 500 Price-to-Book Ratio Fueled by AI optimism, the S&P 500’s price-to-book ratio hit 5.3 in 2024, proving that Wall Street can party like it’s 1999… again. Image: Bloomberg