EddieJayonCrypto
21 Mar 25
Three major US banks, including JPMorgan Chase, Bank of America, and Morgan Stanley, offer their perspectives on the future of the S&P 500 following a significant market sell-off. JPMorgan suggests that the recent correction may have been driven by specific types of investment firms, and they see th...
Three major US banks, including JPMorgan Chase, Bank of America, and Morgan Stanley, offer their perspectives on the future of the S&P 500 following a significant market sell-off. JPMorgan suggests that the recent correction may have been driven by specific types of investment firms, and they see the possibility of the S&P 500 reaching a local bottom. Bank of America believes there is still potential for downside before a price floor is established. Meanwhile, Morgan Stanley indicates that the S&P 500 is at a level where tactical rallies could occur. All three banks previously predicted the S&P 500 to rise to higher levels this year. At the time of the report, the S&P 500 is trading at 5,662 points.
Starting with JPMorgan Chase, analysts at the largest US bank say they don’t believe tariff-related headlines are the catalyst behind the recent market-wide correction. According to a team led by Nikolaos Panigritzoglou, the $5.5 trillion S&P 500 correction was most likely driven by two types of investment firms adjusting their positions rather than investor concern about a potential recession. JPMorgan says it is within the realm of possibility that the S&P 500 is close to carving a local bottom. Meanwhile, Bank of America (BofA) says the S&P 500 has more downside potential before printing a price floor. As for Morgan Stanley, the financial services giant says the S&P 500 is now hovering at an area where it could ignite tactical rallies.