Stock market will fall 20-30% from 2024 peak, predicts JP Morgan report (2024)

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Stock market will fall 20-30% from 2024 peak, predicts JP Morgan report? ›

"We stick to our view that upside from here appears limited and that equities will fall 20-30% from a 2024 peak," JP Morgan strategists wrote in a note, reported Investing.com. While the overall 2024 outlook for stock market seems bleak, investing in small caps can be favourable this year, said the note.

But in guidance for 2024, the bank said it expected net interest income of around $90 billion, which is essentially unchanged from its previous forecast. That appeared to disappoint investors, some of whom expected JPMorgan to raise its guidance by $2 billion to $3 billion for the year.

Our latest forecast is 2.2% for full-year 2024.

Based on analyst ratings, JPMorgan Chase & Co.'s 12-month average price target is $209.70. What is JPM's upside potential, based on the analysts' average price target? JPMorgan Chase & Co. has 14.66% upside potential, based on the analysts' average price target.

Investec in its latest India strategy note said the probability of a correction (10 per cent drawdown) for domestic stocks is high in 2024, especially after the outperformance of large cap (23 per cent) and midcap (58 per cent) indices over the past year. The probability, it said, is close to 90 per cent!

Economic growth actually accelerated above its 10-year average in 2023. That resilience, coupled with a fascination about artificial intelligence (AI), changed investors' collective mood. The S&P 500 soared throughout the year and finally reached a new high in January 2024, making the new bull market official.

Stocks and bonds may both be poised for success in 2024. Easing inflation and a pivoting Fed should reduce headwinds that have faced both asset classes in recent years. Resilient growth may prove to be an additional tailwind for stocks.

It can be nerve-wracking to watch your portfolio consistently drop during bear market periods. After all, nobody likes losing money; that goes against the whole purpose of investing. However, pulling your money out of the stock market during down periods can often do more harm than good in the long term.

Is JPMorgan Chase stock a Buy, Sell or Hold? JPMorgan Chase stock has received a consensus rating of buy. The average rating score is A1 and is based on 70 buy ratings, 12 hold ratings, and 5 sell ratings.

JPMS is a broker dealer registered with, and regulated by, the SEC. In compliance with the SEC rules and regulations for the protection of customers, JPMS maintains all customers' Fully Paid and Excess Margin securities as required under Rule 15c3-3(b) of the Securities Exchange Act of 1934.

Is it worth investing in JP Morgan? ›

JPMorgan Chase & Co. currently has an average brokerage recommendation (ABR) of 1.59, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 23 brokerage firms. An ABR of 1.59 approximates between Strong Buy and Buy.

If the price of your stocks drops while you are holding it, you have not lost any money at all. Values fluctuate, but you are holding stocks, not money. It only becomes money again when you sell it. If you sell your stocks for less than you paid for them, only then have you lost money.

Meanwhile, the median streak of positive returns can extend to 17 months with a gain of 14%, based on historical data. That suggests the S&P 500 could trade to 6,000 by August 2025, and to as high as 6,150 by November 2025.

Meanwhile, the median streak of positive returns can extend to 17 months with a gain of 14%, based on historical data. That suggests the S&P 500 could trade to 6,000 by August 2025, and to as high as 6,150 by November 2025.

U.S. stock returns: 2023 optimism carries forward

This heightened optimism is on par with the positive outlook in December 2021, when investors anticipated a 6% stock market return for 2022. Investor expectations for stock returns over the long run (defined as the next 10 years) rose slightly to 7.2%.

The top performers for 2024 include health care, artificial intelligence, and a stock tied to former President Donald Trump. The S&P 500's 2024 rally continued in March as encouraging economic data and solid fourth-quarter earnings numbers boosted investor sentiment.