Thinking About 2025

We’re no longer the most bullish strategists on the block. We project a 15% advance in the S&P 500 next year, whereas others see reason to expect 20%. With bullishness abounding, contrarian indicators are flashing red, and we see the potential for a market correction early next year. Today, Eric details YRI’s positions on the economic outlook, which is supported by brisk consumer and corporate spending and rising productivity growth; the inflation outlook, which is looking sticky above the Fed’s target; what the Fed is likely to do next; and the valuation and fundamentals assumptions that underpin our stock market forecast.