JPMorgan says the S&P 500 could push toward 8,000 by 2026 if the Federal Reserve delivers more rate cuts than markets currently anticipate.
In its new Global Equity Outlook, the bank sees the index reaching around 7,500 under its base case, supported by strong earnings momentum, lower policy rates and easing macro pressures. The U.S. remains JPMorgan’s primary growth engine, underpinned by a resilient economy and a sustained boom in AI-related capital spending.
The bank expects U.S. earnings to grow 13–15% over the next two years and argues that elevated valuations are defensible given accelerating AI investment, expanding shareholder returns and potential policy tailwinds. But JPMorgan also highlighted risks: rapid AI disruption could heighten imbalances across the economy and fuel more volatile swings in investor sentiment.
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Speaking of 8,000:
