tl;dr
JPMorgan Chase predicts continued growth in the US stock market, expecting new all-time highs in the coming months. Jordan Jackson, the firm's global market strategist, expressed confidence that a US recession is unlikely within the next year. He highlighted Corporate America's resilience amid trade...
Banking giant JPMorgan Chase projects that the US stock market is far from finished rallying, with expectations for significantly higher levels in the coming months. Jordan Jackson, JPMorgan Asset Management's global market strategist, expressed confidence in an interview with CNBC Television that the US is unlikely to enter a recession within the next 12 months. He anticipates the stock market will reach new all-time highs during this period.
Jackson noted that despite markets flirting with record highs and showing near-term caution, the broader outlook remains optimistic. He emphasized that Corporate America has demonstrated resilience by effectively navigating the uncertainty stemming from fluctuating trade policies under the Trump administration, reinforcing his bullish market outlook.
He described the earnings environment as "resilient," highlighting how companies have implemented cost-cutting measures such as reducing workforce, freezing hiring, and adjusting supplier relationships to mitigate the impact of higher tariffs. This strength, especially observable in upcoming tech earnings reports, will be crucial in shaping forward guidance from CEOs.
Jackson pointed out that while CEOs convey a more cautious tone about the economic outlook, particularly expecting a slowdown in the latter half of the year, forthcoming forward guidance will be critical for adjusting earnings expectations and assessing the stock market’s trajectory toward the end of the year.