Fuguo Securities raises its year-end target for the S&P 500 index to 7950 points

Fuguo Securities has raised its year-end target for the S&P 500 index from 7300 points to 7950 points, believing that the easing of the US Iran conflict, the decline in inflation pressure, and the expectation of interest rate hikes have formed a bullish trend. Wu Chengquan, a stock strategist at Fuguo Securities, stated that market sentiment has returned to neutrality, and the AI and semiconductor sectors remain core growth drivers, with cyclical stocks expected to make up for the gains. The institution believes that the market has partially priced in the policy stance of Federal Reserve Chairman Kevin Walsh, and warns that the volatility of the US midterm election cycle and tightening regulation in the AI industry are the main downside risks.