Market strategist Tom Lee is sticking to his stock market predictions despite recent market turbulence related to the Iran war.
Lee says in a recent interview with CNCB that his equity research firm, Fundstrat Global Advisors, remains steady on its year-end S&P 500 target of 7,700.
“First, I think 7,700 was a conservative estimate to start with, as markets have been steadily repricing on a P/E basis, and we only expect a modest P/E increase this year to 7,700.
And while the war obviously causes a huge short-term setback and a lot of uncertainty, including effects on monetary policy, wars will ultimately be good for the US economy and the US stock market. So I think as we get closer to the end of the year, the market is starting to think less about the crisis element of this and more about the opportunities.”
Lee also notes that in the past eight major wars, the stock market bottomed out early in the conflict.
Priced at 6,579.75 at the time of writing, the S&P 500 is down 2.12% over the past five days, 3.77% over the past month, and 4.06% year-to-date.
Follow us further X, Facebook And Telegram
Don’t miss a beat – Subscribe to receive email alerts straight to your inbox
Check price action
Surf to the Daily Hodl mix
Generated image: Midjourney