Goldman Sachs technical strategist: S&P 500 index target of 6000 points is too low, US stocks will see a big rise by the end of the year

According to the financial news app Zhitong Finance, Goldman Sachs technical strategist Scott Rubner stated that he is so bullish on the U.S. stock market that he is now worried that he set his price target for the S&P 500 index too low. In a report on Wednesday, Rubner said, "I'm worried that my 6000-point target is too low." He predicts that the S&P 500 index will see a big rally in November and December 2024, breaking through 6000 points by the end of 2024. The technical strategist explained that he believes the U.S. stock market will experience an uptrend in the last few months of 2024, consistent with historical trends, with a possible temporary downturn in the next three weeks. Rubner stated, "I am optimistic about the year-end rally in the U.S. stock market, expected to start from October 28th." As of now, the S&P 500 index has risen by 956 points this year, a 20% increase. Rubner cited data from the past 100 years showing that historically, markets tend to decline in October and then rebound starting from October 27th. In election years, the market also tends to follow this trend and start rising around November 5th. The Goldman Sachs strategist also pointed out that U.S. companies are currently under a buyback blackout period, which will end on October 25th, limiting their stock repurchase capabilities. Rubner explained that the $974 billion stock buyback plan approved in September will be unleashed after the blackout period ends, which will boost the U.S. stock market. He also noted that the demand for put options before the U.S. elections may further drive the U.S. stock market higher. Furthermore, the upcoming corporate earnings season may also push stock prices higher, provided that the earnings results meet analysts' high expectations. Rubner said, "The 'Super Bowl' of U.S. corporate earnings will play out in the week of October 25th, with 61% of the S&P 500 index market cap announcing earnings in the two weeks before the election." Rubner expects investors to experience a period of high volatility in the next three weeks before the anticipated uptrend. He stated, "I am preparing for increased market volatility, where the market may overreact to daily news and themes. The market now has greater freedom to fluctuate."