According to data compiled by Bloomberg, the 20 Wall Street strategists tracked by the financial news outlet project the S&P 500 to finish 2024 at 4,850, just under 2% more than 2023. Still, there is a major deviation between more optimistic strategists such as Oppenheimer and Funstrat, who are predicting a 5,200 finish, and conservative strategists such as JPMorgan, who posted a forecast of 4,200.

Goldman Sachs strategists decided to boost their forecasts following the two-month rally amid rising investor confidence. “Resilient growth and falling rates should benefit stocks with weaker balance sheets, particularly those that are sensitive to economic growth,” Goldman Sachs chief US equity strategist David Kostin wrote in a note to investors. The firm has posted a 2024 forecast of 5,100 for the benchmark index.

JPMorgan retains a hawkish outlook, however, forecasting a 12% decline for the S&P 500. “Absent rapid Fed easing, we expect a more challenging macro backdrop for stocks next year with softening consumer trends at a time when investor positioning and sentiment have mostly reversed,” the firm’s team of analysts wrote in its 2024 outlook report.

The post Leading Strategists Reveal 2024 S&P 500 Forecasts appeared first on theprimarymarket.com.

JPMorgan Chase, Wells Fargo, and Citigroup all posted higher profits for the third quarter than were expected. JPMorgan reported third-quarter earnings of $13.2 billion—a 35% year-over-year rise—while its revenue of $40.7 billion was up 21% compared to last year. Wells Fargo’s revenues for the quarter were up by 20% compared to last year on the back of higher interest rates on loans.

Oil prices surged after Israel ramped up its counter-offensive in Gaza following deadly terror attacks by Hamas. Crude oil futures surged by 4% as did Brent crude futures.

The post Nasdaq & S&P Sink, Dow Rises Following Big Bank Earnings appeared first on theprimarymarket.com.

“After reaching our target of $90 in September, our end-year target remains $86 [per barrel],” Natasha Kaneva, head of the global commodities strategy team at JPMorgan announced. Kaneva claimed that oil inventories should build up during the final months of the year.

“Demand destruction has begun,” the note from JPMorgan read. According to the team of analysts, demand restraint is expected to be particularly prominent in the United States, Europe, and some emerging markets. They added that consumers have already hit their pain limit for gasoline; a derivative of oil.

The post JPMorgan Claims Oil Demand Destruction Has Begun appeared first on theprimarymarket.com.

This development is a reversal of the trend seen in the first three months of the year. Following the collapse of Silicon Valley Bank, Signature Bank, and First Republic Bank, account holders withdrew their funds from regional banks en masse in favor of depositing with the largest players in the banking sector.

Now that concerns of failure are subsiding, CFRA equity analyst Alexander Yokum feels that depositors are heading to those banks that pay the highest rates. “The regionals are winning the deposit battle right now because they’re willing to pay the most.”

“Ironically,” Yokum added, “the deposit outflows from the big banks is “actually a sign of strength”. For the week ending July 12, deposits at the largest U.S. banks fell by $78 billion; the largest drop since the week ending March 22.

The post Major U.S. Banks Showed Largest Q2 Deposit Declines appeared first on theprimarymarket.com.

Team leader Andrew Tyler wrote that his team expects this approach to push stocks on the S&P 500 up to 0.75% higher. They have assigned a 65% chance for the Federal Reserve to hike interest rates on Wednesday before pausing next month. This is more than double the probability of a scenario where the Fed continues to hike rates continuously over the coming months.

“We think the Hike & Pause scenario is more likely with potential upside risks that the Fed may confirm the end of the cycle earlier at Jackson Hole,” the team from JPMorgan Chase & Co wrote in a note, speaking of the Kansas City Fed’s annual policy forum scheduled in late August.

“Any language that the market interprets as the Fed may pause after one hike,” the statement continued, adding that the disinflationary process is advancing quicker than expected.

The post JPMorgan Expects Fed Announcement to Boost Stocks appeared first on theprimarymarket.com.

The S&P 500 declined 0.1% on Friday as its banks’ index fell 0.9%. Still, the benchmark U.S. index posted a weekly gain of 2.4%, meaning that it is now up 17% for the year to date.

The tech-heavy Nasdaq Composite ended Friday 0.18% lower, while the Dow Jones Industrial Index gained 0.33%. For the week, both the Nasdaq and Dow Jones were up, advancing 3.3% and 2.3% respectively.

JPMorgan Chase was up 0.6% on Friday, while Wells Fargo shares declined by 0.3%. Citigroup stocks tumbled by 4% after the company reported a decline in its quarterly profits, As BlackRock fell 1.5% after reporting a decline in quarterly revenueof its own.

Overall, shares listed on the S&P 500 performed well this week, with 40 reaching new 52-week highs. On the Nasdaq Composite, 97 companies posted new 52-week highs.

The post Stocks End Week Lower As Banks Disappoint appeared first on theprimarymarket.com.

Citigroup CEO Jane Fraser commented that “the long-awaited rebound in investment banking has yet to materialize,” following the release of her bank’s disappointing second-quarter results. While consumer banking strengthened, Citigroup’s corporate and investment banking unit tanked, pushing overall profits down 36%. Their investment banking unit declined 24% in the second quarter.

JPMorgan’s consumer business also strengthened, with CEO Jamie Dimon telling analysts that “they are spending down their excess cash.” Still, the bank’s corporate business underperformed, contributing to a 6% decline in its investment banking fees from a year ago.

Goldman Sachs, due to release its second-quarter earnings on Wednesday, is expected to report a decline in its investment banking revenue of 32% as well as a 17% trade decline.

Morgan Stanley’s second-quarter results, due on Tuesday, are expected to show a 4% drop in investment banking and a 19% decline in trading.

The post Bank Results Serve As Warning Sign For Wall Street appeared first on theprimarymarket.com.

“The US economy continues to be resilient,” JPMorgan CEO Jamie Dimon commented following the release of the earnings results. “Consumer balance sheets remain healthy, and consumers are spending, albeit a little more slowly.”

Stocks in JPMorgan rose by 3% during pre-market trading on Friday.

JPMorgan proved its dominance over the banking industry, winning a government-run auction to purchase the majority of the operations of First Republic Bank after the bank was seized by U.S. regulators. The acquisition added $2.4 billion in net income to JPMorgan, the bank confirmed on Friday morning.

Net interest income, which is the difference between what the bank charges on loans and pays on deposits, rose by 44% from a year ago to $21.9 billion.

The post JPMorgan Profits Surge in Q2 appeared first on theprimarymarket.com.

Kolanovic’s reasons for distributing this advice are the Federal Reserve’s still-hawkish monetary policy, the ongoing U.S. debt talks that appear to be deadlocked, as well as increased recessions risks.

“Hopes of a swift resolution to the US debt ceiling have somewhat bolstered market sentiment,” Kolanovic stated in a note to clients. “Despite last week’s rebound, risk assets are failing to break out of this year’s ranges, and if anything credit and commodities are trading at the lower end of this year’s ranges.

The JPMorgan advisor continued that even though equities are trading near this year’s highs, the investment company’s model portfolio has suffered a third loss in the last four months.

The post Cut Stocks, Hold Onto Cash, JPMorgan Strategist Advises appeared first on theprimarymarket.com.

Shut down last month, First Republic Bank is in the process of being integrated into JPMorgan; a process that is expected to take 12 months. The purchase saw JPMorgan receive $173 billion of the failed bank’s loans, $30 billion of securities, and $92 billion of deposits.

Currently the largest lender in the U.S., JPMorgan expressed optimism regarding the purchase, particularly given the large influx of incoming deposits by investors who sought the safety of large, established banking institutions.

First Republic Bank was the third major U.S. bank to collapse since March in what has been a sector-wide crisis. In addition to applying additional pressure to mid-sized banks and sending financial stocks tumbling, this instability had added to concerns of an impending recession.

The post JPMorgan Expects Income Boost From First Republic Bank Deal appeared first on theprimarymarket.com.

According to data compiled by Bloomberg, the 20 Wall Street strategists tracked by the financial news outlet project the S&P 500 to finish 2024 at 4,850, just under 2% more than 2023. Still, there is a major deviation between more optimistic strategists such as Oppenheimer and Funstrat, who are predicting a 5,200 finish, and conservative strategists such as JPMorgan, who posted a forecast of 4,200.

Goldman Sachs strategists decided to boost their forecasts following the two-month rally amid rising investor confidence. “Resilient growth and falling rates should benefit stocks with weaker balance sheets, particularly those that are sensitive to economic growth,” Goldman Sachs chief US equity strategist David Kostin wrote in a note to investors. The firm has posted a 2024 forecast of 5,100 for the benchmark index.

JPMorgan retains a hawkish outlook, however, forecasting a 12% decline for the S&P 500. “Absent rapid Fed easing, we expect a more challenging macro backdrop for stocks next year with softening consumer trends at a time when investor positioning and sentiment have mostly reversed,” the firm’s team of analysts wrote in its 2024 outlook report.

The post Leading Strategists Reveal 2024 S&P 500 Forecasts appeared first on theprimarymarket.com.

JPMorgan Chase, Wells Fargo, and Citigroup all posted higher profits for the third quarter than were expected. JPMorgan reported third-quarter earnings of $13.2 billion—a 35% year-over-year rise—while its revenue of $40.7 billion was up 21% compared to last year. Wells Fargo’s revenues for the quarter were up by 20% compared to last year on the back of higher interest rates on loans.

Oil prices surged after Israel ramped up its counter-offensive in Gaza following deadly terror attacks by Hamas. Crude oil futures surged by 4% as did Brent crude futures.

The post Nasdaq & S&P Sink, Dow Rises Following Big Bank Earnings appeared first on theprimarymarket.com.

“After reaching our target of $90 in September, our end-year target remains $86 [per barrel],” Natasha Kaneva, head of the global commodities strategy team at JPMorgan announced. Kaneva claimed that oil inventories should build up during the final months of the year.

“Demand destruction has begun,” the note from JPMorgan read. According to the team of analysts, demand restraint is expected to be particularly prominent in the United States, Europe, and some emerging markets. They added that consumers have already hit their pain limit for gasoline; a derivative of oil.

The post JPMorgan Claims Oil Demand Destruction Has Begun appeared first on theprimarymarket.com.

This development is a reversal of the trend seen in the first three months of the year. Following the collapse of Silicon Valley Bank, Signature Bank, and First Republic Bank, account holders withdrew their funds from regional banks en masse in favor of depositing with the largest players in the banking sector.

Now that concerns of failure are subsiding, CFRA equity analyst Alexander Yokum feels that depositors are heading to those banks that pay the highest rates. “The regionals are winning the deposit battle right now because they’re willing to pay the most.”

“Ironically,” Yokum added, “the deposit outflows from the big banks is “actually a sign of strength”. For the week ending July 12, deposits at the largest U.S. banks fell by $78 billion; the largest drop since the week ending March 22.

The post Major U.S. Banks Showed Largest Q2 Deposit Declines appeared first on theprimarymarket.com.

Team leader Andrew Tyler wrote that his team expects this approach to push stocks on the S&P 500 up to 0.75% higher. They have assigned a 65% chance for the Federal Reserve to hike interest rates on Wednesday before pausing next month. This is more than double the probability of a scenario where the Fed continues to hike rates continuously over the coming months.

“We think the Hike & Pause scenario is more likely with potential upside risks that the Fed may confirm the end of the cycle earlier at Jackson Hole,” the team from JPMorgan Chase & Co wrote in a note, speaking of the Kansas City Fed’s annual policy forum scheduled in late August.

“Any language that the market interprets as the Fed may pause after one hike,” the statement continued, adding that the disinflationary process is advancing quicker than expected.

The post JPMorgan Expects Fed Announcement to Boost Stocks appeared first on theprimarymarket.com.

The S&P 500 declined 0.1% on Friday as its banks’ index fell 0.9%. Still, the benchmark U.S. index posted a weekly gain of 2.4%, meaning that it is now up 17% for the year to date.

The tech-heavy Nasdaq Composite ended Friday 0.18% lower, while the Dow Jones Industrial Index gained 0.33%. For the week, both the Nasdaq and Dow Jones were up, advancing 3.3% and 2.3% respectively.

JPMorgan Chase was up 0.6% on Friday, while Wells Fargo shares declined by 0.3%. Citigroup stocks tumbled by 4% after the company reported a decline in its quarterly profits, As BlackRock fell 1.5% after reporting a decline in quarterly revenueof its own.

Overall, shares listed on the S&P 500 performed well this week, with 40 reaching new 52-week highs. On the Nasdaq Composite, 97 companies posted new 52-week highs.

The post Stocks End Week Lower As Banks Disappoint appeared first on theprimarymarket.com.

Citigroup CEO Jane Fraser commented that “the long-awaited rebound in investment banking has yet to materialize,” following the release of her bank’s disappointing second-quarter results. While consumer banking strengthened, Citigroup’s corporate and investment banking unit tanked, pushing overall profits down 36%. Their investment banking unit declined 24% in the second quarter.

JPMorgan’s consumer business also strengthened, with CEO Jamie Dimon telling analysts that “they are spending down their excess cash.” Still, the bank’s corporate business underperformed, contributing to a 6% decline in its investment banking fees from a year ago.

Goldman Sachs, due to release its second-quarter earnings on Wednesday, is expected to report a decline in its investment banking revenue of 32% as well as a 17% trade decline.

Morgan Stanley’s second-quarter results, due on Tuesday, are expected to show a 4% drop in investment banking and a 19% decline in trading.

The post Bank Results Serve As Warning Sign For Wall Street appeared first on theprimarymarket.com.

“The US economy continues to be resilient,” JPMorgan CEO Jamie Dimon commented following the release of the earnings results. “Consumer balance sheets remain healthy, and consumers are spending, albeit a little more slowly.”

Stocks in JPMorgan rose by 3% during pre-market trading on Friday.

JPMorgan proved its dominance over the banking industry, winning a government-run auction to purchase the majority of the operations of First Republic Bank after the bank was seized by U.S. regulators. The acquisition added $2.4 billion in net income to JPMorgan, the bank confirmed on Friday morning.

Net interest income, which is the difference between what the bank charges on loans and pays on deposits, rose by 44% from a year ago to $21.9 billion.

The post JPMorgan Profits Surge in Q2 appeared first on theprimarymarket.com.

Kolanovic’s reasons for distributing this advice are the Federal Reserve’s still-hawkish monetary policy, the ongoing U.S. debt talks that appear to be deadlocked, as well as increased recessions risks.

“Hopes of a swift resolution to the US debt ceiling have somewhat bolstered market sentiment,” Kolanovic stated in a note to clients. “Despite last week’s rebound, risk assets are failing to break out of this year’s ranges, and if anything credit and commodities are trading at the lower end of this year’s ranges.

The JPMorgan advisor continued that even though equities are trading near this year’s highs, the investment company’s model portfolio has suffered a third loss in the last four months.

The post Cut Stocks, Hold Onto Cash, JPMorgan Strategist Advises appeared first on theprimarymarket.com.

Shut down last month, First Republic Bank is in the process of being integrated into JPMorgan; a process that is expected to take 12 months. The purchase saw JPMorgan receive $173 billion of the failed bank’s loans, $30 billion of securities, and $92 billion of deposits.

Currently the largest lender in the U.S., JPMorgan expressed optimism regarding the purchase, particularly given the large influx of incoming deposits by investors who sought the safety of large, established banking institutions.

First Republic Bank was the third major U.S. bank to collapse since March in what has been a sector-wide crisis. In addition to applying additional pressure to mid-sized banks and sending financial stocks tumbling, this instability had added to concerns of an impending recession.

The post JPMorgan Expects Income Boost From First Republic Bank Deal appeared first on theprimarymarket.com.