BMO hikes S&P 500 target to 6,700 with benchmark on the cusp of a record high
The S & P 500 is close to its all-time high, and BMO thinks there are more gains to be made above that February level. Strategist Brian Belski hiked his S & P 500 year-end target to 6,700 — his original 2025 forecast — from 6,100. The new forecast signals upside of 10% from Tuesday's close. Belski highlighted two reasons for the target increase: "Markets are transitioning TO 'show me' FROM 'scare me'. We believe performance is broadening, reactions from daily rhetoric are calming, and actual corporate guidance will increase coming out of the 2Q earnings reporting period." "Facts over feelings WIN AGAIN. … The death of 'American Exceptionalism' was widely exaggerated and too vehemently applauded to hold any merit or duration … That is why the relative performance of other markets that so many investors have been chasing and applauding for emotional reasons [is] already beginning to wane." .SPX YTD mountain S & P 500 year to date The change came as stocks rallied Tuesday following a ceasefire between Iran and Israel, easing tensions in the Middle East. Week to date, the S & P 500 is up 2% and sits less than 1% below its record high set in February. Belski's target is now the highest among those included in the CNBC Market Strategist Survey . Technology is BMO's favorite sector going forward, with the firm recommending a 33% allocation to the space. Indeed, tech has been a leader in the market's rebound from the tariff scare. Since April 2, the day President Trump announced higher tariffs, the sector is up 18%. Already, the tech-heavy Nasdaq-100 index made a fresh all-time high on Tuesday. Others on the Street echo Belski's market enthusiasm. "In my view, we hit new highs sooner rather than later," Mark Gibbens, founder and CIO of Gibbens Capital Management, told me during a phone call. "All things considered, assuming the economy still grows at a 2% clip, the consumer remains healthy, … there's a lot to look forward to in the back half of the year." On Tuesday, JPMorgan's trading desk told clients that it's "time to get bulled up again."
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38 minutes ago
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Should You Buy Roku Stock After Its Partnership With Amazon?
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an hour ago
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The record-breaking week in the stock market that could have gone very badly
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NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
UPI
an hour ago
- UPI
Trump cancels U.S.-Canadian trade talks over tech taxes
Canadian Prime Minister Mark Carney meets with President Donald Trump in the Oval Office at the White House on May 6. Trump on Friday suspended trade talks due to Canada's new Digital Services Tax. File Photo by Francis Chung/UPI | License Photo June 28 (UPI) -- President Donald Trump cited potential Canadian taxes on U.S. tech companies as his reason for ending trade talks with Canada on Friday. The tech taxes on Amazon, Google, Meta and other U.S. tech firms are due on Monday, and Trump said it is a deal-breaker. "We have just been informed that Canada ... has just announced that they are putting a Digital Services Tax on our American technology companies," Trump said in a Truth Social post on Friday. He called the tax a "direct and blatant attack on our country" and accused Canada of "copying the European Union, which has done the same thing." "We are hereby terminating all discussions on trade with Canada, effective immediately," Trump said. His administration in the coming week will notify Canadian officials of the tariff that it will have to pay to do business in the United States, Trump added. Trump last week attended the G7 economic trade summit hosted by Canada and Canadian Prime Minister Mark Carney and sought common ground on trade talks, The Washington Post reported. Officials at U.S. tech firms oppose the Canadian tax, the amount of which is based on the revenues generated by Canadians' use of e-commerce sites, social media and the sales of data. All tech companies that generate more than $14.59 million from such services would be subject to the new 3% Digital Services Tax. The tax is retroactive to 2022 and could cost U.S.-based tech firms up to $3 billion, NBC News reported. Upon learning of Trump halting trade talks, Canadian officials on Friday limited U.S. steel imports and placed a 50% surcharge on steel imports that surpass the quota. Canadian Finance Minister Francois-Philippe Champagne said the surcharge will help to protect Canadian steel against what he called "unjust U.S. tariffs." He said the Canadian government is prepared to take additional actions, if necessary.
