Ed Yardeni: S&P 500 Index may rise to 10000 points by the end of this decade

Yardeni Research President Ed Yardeni stated that the rise of the S&P 500 index is based on corporate profit growth rather than speculative sentiment. He believes that as long as the US economy does not fall into recession in the next few years, the current forward price to earnings ratio of 20 to 22 times is reasonable, and expects the S&P 500 index to rise to 10000 points by the end of this decade, an increase of about 33% from the current level. Despite some semiconductor stocks showing a "melt up" characteristic, he still maintains confidence in the long-term trend.