Stifel raises the S&P 500 year-end target to 7,900 points
路透社2026/10/05 15:26Reuters, October 5 – Stifel has raised its year-end target for the S&P 500 .SPX benchmark index from 7,800 to 7,900, citing expectations of stronger corporate earnings and gains driven by AI spending, despite a worsening macroeconomic environment. Key details include: In a report released on Sunday, the brokerage said robust government spending and AI investments are propelling profit growth. However, it also noted that strong economic activity is keeping interest rates elevated for a longer period. The revised target is 1.9% higher than the index’s current level. Despite rising energy costs, persistent inflation, high bond yields, and cooling enthusiasm for AI, U.S. equities remain resilient. The brokerage stated that sticky inflation is once again dominating market movements, strong economic data is putting pressure on stocks, and the safe-haven appeal of bonds has diminished. “Capital expenditures and operating leverage in the tech sector continue to drive margin expansion in the S&P 500,” the report said. Stifel's forecast is slightly below the consensus among brokerages, many of which predict the S&P 500 will close at 8,000 points or higher by the end of 2026 (link), with the bull market extending into next year. (For ease of non-English speakers, Reuters provides automated translations of its reports into several other languages. Since automated translations may contain errors or lack required context, Reuters does not guarantee the accuracy of the automated translation and provides it solely for readers’ convenience. Reuters will not be liable for any damage or loss arising from the use of the automated translation feature.)
Reuters Oct 5 - Stifel has raised its year-end .SPX S&P 500 benchmark index target from 7,800 to 7,900, citing expectations for stronger corporate earnings and gains from artificial intelligence spending, despite a worsening macroeconomic environment.
Details are as follows:
The brokerage said in a report released on Sunday, that resilient government spending and AI investments are driving profit growth.
However, the firm stated, strong economic activity has also resulted in interest rates remaining at higher levels for a longer period.
The revised target is 1.9% higher than the current level of the index.
Despite rising energy costs, persistent inflation, elevated bond yields, and a cooling enthusiasm for artificial intelligence in the market, US stocks remain resilient.
The brokerage noted that stubborn inflation is again dominating market trends, strong economic data is putting pressure on equities, while the safe-haven appeal of bonds has diminished.
“Capital expenditures and operating leverage in the technology sector continue to drive margin expansion in the S&P 500 index,” the report said.
Stifel’s forecast is slightly below the consensus among brokerages, many of which expect the S&P 500 to end 2026 at 8,000 points or above (link), with the bull market continuing into next year.
(To assist non-native English speakers, Reuters has provided automated translations of its reports into several other languages. As automated translations may contain errors or lack essential context, Reuters does not guarantee the accuracy of these translations and provides them solely for reader convenience. Reuters accepts no responsibility for any loss or damage resulting from the use of automated translation services.)
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Illia Polosukhin: NEAR accounts can achieve quantum resistance through key updates
Chart - U.S. stock funds see weekly net outflows for the first time in three weeks
Reuters, October 9 – After two consecutive weeks of net inflows, U.S. equity funds saw net outflows for the week ending October 7, as investors took profits during a market rally while concerns persisted over rising Treasury yields and sustained high oil prices. LSEG Lipper data shows investors withdrew a net $5.11 billion from U.S. equity funds during the week, marking the first weekly net outflow since September 16. The S&P 500 index (.SPX) hit a record high of 7,844.52 points earlier in the week before retreating. Mounting inflation concerns fueled a sharp selloff in the bond market, driving the yield on the 10-year Treasury to 5.3645%, its highest level since April 2002, dampening market sentiment. Large-cap, mid-cap, and small-cap U.S. equity funds recorded net redemptions of $14.08 billion, $1.03 billion, and $834 million, respectively. However, investors made net purchases of $5.68 billion in sector funds, led by technology, which attracted $4.53 billion. The utilities and industrials sectors absorbed $1.18 billion and $1.04 billion, respectively. U.S. bond funds posted net inflows of $19.78 billion for the week, a historic high. Investors poured $6.76 billion into short- to intermediate-term government and Treasury funds, the highest in six months. Short- to intermediate-term investment-grade funds and general domestic taxable fixed income funds saw net inflows of $5.04 billion and $2.52 billion, respectively. Meanwhile, money market funds attracted $68.49 billion, reversing the previous week’s $43.6 billion in outflows. (For the convenience of non-English speakers, Reuters provides automated translations of its reports into several other languages. Due to possible inaccuracies or lack of context in automated translations, Reuters does not guarantee the accuracy of such texts and provides them solely for the convenience of readers. Reuters accepts no liability for any damage or loss caused by the use of automated translation services.)
BUZZ - Delta Air Lines shares fall after lowering full-year profit guidance
October 9 - Delta Air Lines (DAL.N) shares fell nearly 5% in pre-market trading to $78.12. Due to a surge in jet fuel prices, Delta Air Lines (DAL) on Friday lowered its full-year adjusted profit forecast. The U.S. airline now expects adjusted earnings per share in 2026 to be between $5.10 and $5.60, down from the previous guidance of $6.5 to $7.5 per share. The current midpoint of $5.35 per share is lower than analysts’ expectations of $5.46 per share. DAL expects its annual fuel costs to rise by about $6.0 billion, compared to an earlier projection of a $4.0 billion increase. Analysts tracking DAL have given it an average “Buy” rating, according to data compiled by LSEG. So far this year, Delta Air Lines stock has risen 18.4%, the highest increase among major U.S. competitors. (For the convenience of non-English speakers, Reuters automatically translates its reports into several other languages. Since automated translations may contain errors or lack the necessary context, Reuters does not guarantee the accuracy of automated translation texts, which are provided solely for readers’ convenience. Reuters assumes no responsibility for any damage or loss resulting from the use of automated translation services.)
Crypto prices
More
