The major brokerage firms have made their US Stock Market Predictions for 2021. Year end 2021 targets for the S&P 500 range from a low of 3800 by Bank of America and Citi to a high of 4700 by Goldman Sachs and 4800 by J.P. Morgan. The S&P 500 finished 2020 at 3756, so all firms are suggesting gains.
Optimism is from the belief we will place the Coronavirus in the rear-view mirror by the end of the 1st half of 2021, unleashing the pent-up demand for consumption, dining and travel.
⏰⏰ 2020 Stock Index Recap ⏰⏰
Who would have predicted, that the Coronavirus would actually move our markets higher?
For 2020, here are the numbers:
- Dow Jones Industrial Average – 7%
- S&P 500 – 4%
- Nasdaq Composite – 9%
- Russell 2000 – 36%
- Foreign Stocks – 3%
- Emerging Markets- 7%
The top sector, to no surprise, was Information Technology, up 43.9%. The bottom sector was Energy, down (-33.7%).
What will really happen in 2021?!
I would first like to wish everyone a Happy New Year ! This is the first time, since 2008 credit/mortgage crisis that all of us have a lot in common. We have all endured perhaps much more than previously believed capable prior to 2020. It is my hope that this experience will make us all better people, spouses, parents, family members, friends and work colleagues. I firmly believe that everything that happens to us is a true opportunity to improve ourselves, and make lives better for those around us.
Let’s make it a really awesome 2021!!