Goldmans have raised their forecast for the S&P for this year and see it at 2050 by year end compared to 1900 previously forecast. They leave their 2015 call unchanged at 2100.
They’ve also raised they’re 12 month from now target to 2075.
They explain that economic growth is accelerating and earnings continue to rise but with less P/E multiple expansion and that a 6% return over the next 12 months leaves equities still attractively valued relative to bond yields.
We’ve still yet to see whether the falls last week were just a flush out or the start of something bigger. At the moment though we’re just opening up where the futures pointed to +9 at 1976.
The Dow is up 97 at 17041 as the first deals are struck and the Nasdaq is up 25 at 4440.
US 10’s get you 2.53% +2 bps
