Underneath the stock market’s epic rebound has been a “more favorable” trend that Credit Suisse says will drive the market higher.
The bank dialed up its year-end forecast for the S&P 500 to $3,025 from $2,925 previously. The new forecast calls for a gain of more than 20 percent for the full year 2019 or more than 7 percent from current levels after the big rally to start the year. It would also be the stock market’s best year since 2013.
That is because all the market risks that tanked stocks in December are now “receding,” according to Credit Suisse chief U.S. equity strategist Jonathan Golub.