Investing.com - Financial Markets Worldwide
Get 40% Off
Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

JPMorgan says S&P 500 could hit 3500 'by early summer'

AuthorSenad Karaahmetovic
Published 04/27/2023, 07:37 AM
Updated 04/27/2023, 07:47 AM
JPMorgan says S&P 500 could hit 3500 'by early summer'

JPMorgan analysts have reiterated their view that the S&P 500 is overvalued and a major pullback is on its way.

JPM strategists have issued consistent warnings that the U.S. benchmark index is at risk of a correction, given macro and earnings risks.

“We have viewed the 4100-4200 as a key resistance zone and an area we did not expect the market to penetrate in a lasting or meaningful way in the first half of 2023,” the analysts said in a client note.

The mid-term support is seen around 3760 before the index could test “key levels near 3500 by early summer.”

“We believe that will ultimately set a cycle bottom, especially if that weak performance is accompanied by impulsive yield curve steepening. Until that setup emerges, we suggest maintaining a bearish bias and staying defensively positioned,” the analysts added.

On the upside, highlighted resistance levels are 4115, 4200, and 4239.

“We would need to see a sustained break above 4200 and a clear rotation to cyclical leadership not only in the US but across global markets to make us rethink our 1H23 outlook. Not only has the market respected our favored resistance and triggered systematic sell signals to bolster our stance, but the rotation away from cyclicals and recent slide in markets like copper and semiconductor equity prices make us even more confident in the outlook,” the analysts concluded.

S&P 500 is up 5.65% year-to-date.

Latest comments

so I am guessing JPMorgan is also 15% over-valued?
only few big banks and tech company perform well so they r not over value but apart from 7 to 8 company everything over valuation as per earning and earning will reduce more due to more rate hike
so u understand Tre. jpm right
small banks doesn't have money
JPMorgan 13f filing shows they are buying more then selling. They are a net buyer by 45 billion . Adding to position while pumping out negative forecasts. Wake up people. They want to to sell while they keep buying.
banks not buy equity at this high valuation.
JP Morgan is telling their wealthy clients to buy while releasing this to the plebs. Thats how the rich stay rich.
That's usually the preferred method of pols to get what they want. I am not sure it works when it comes to markets. JP Morgan could, of course, be proven right with its 3500 prediction. Though, they may have a huge put position under water they want to rescue ...
jpm right. no one say to buy for few months
No one except the market.
I agree. market will definitely going to fall by 10%. it will go up only if biden and Trump together invest money.
sharpest fools in the financial markets.
Mike Wilson now sending forecasts thru other analysts since his forecast of s&p 500 hitting 3000 in first half is way off
Trump and Biden doubled the nation’s money supply id hope it goes up lol
This is false. The money supply increased by about 45% under Trump and by about 5% so far under Biden. You don't know what you are talking about.
The analysts at JP Morgan are Perma Bears and rarely are correct as a result. Personally I'd fire them all and get some new and brighter perspectives.
world economy's been in the doldrums for years now.. it's not unreasonable to expect things to get a little better after that..
jpm are wrong 3 times for every time they get it right. maybe they should just keep their mouths shut..
they know nothing just like everyone one else. anything can go. just like they said last fall: recession in the first half of 2023, and here we are.
recession going to stay whole year. earning not going to be good except few company. so jpm analysis right
You make all of us lose big money now. What a day! We shorted big
JPMorgan should be completely  banned from trading the markets because they are confusing the people with these type of statements. .  They go short and spread the news to theirs advantage. I feel one of the following is fair act: - Banning JP Morgan from trading   or - Banning them from commenting on the live markets wherever their entities are involved in  trading..
JPM has been right all along about inflation. They told us in January about the banking problems. A voice of reason keeping you safe. They are telling you sell 4200 or be a bag holder.
You are right, but all banks should be eligible for your fair fact :-)
JPMorgan should be banned from any type trading the markets. if they do trading they shouldn't release these type of statements about  the market. People are not fair in playing the casino games.
it's bull trap people. I agree with jp Morgan. today market is joke. meta result powerful than us gdp number. wow
bullshit
Today is a Bull trapUse this opportunity to take profits !
Maybe someone has shorted in billions, ! Comeon guys, we have seen -30% and recovery since last year. Interests have gone up, people have lost their jobs. Hope for the best!
I concur, sell in May and go away, has never been more pertinent. !FOMO - Sell now, and miss the drop
The same analysts who predict the results to rice 9% in the q4? Lol.
same analysts who missed NASDAQ rally. when they are wrong they just dig in their heels and mislead the public. They may be right but just as much chance of being wrong. Its the air of certainty they project which is dispicable.
or they stand to lose a substantial amount of money on their short positions
these parasites should cover their shorts! :)
shmm earnings arent bad, and most tech companies earnings in 2021 need to come back down to realistic numbers wich they have. if we get that recession then maybe we break that 348ish
Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.