HSBC: Raises S&P 500 Year-End Target to 6,500 Points

Jinse Finance reported that HSBC has released a report stating that, following an adjustment in early August, it has once again raised its year-end target for the S&P 500 Index from 6,400 points to 6,500 points, marking the second upward revision in less than a month. The main reason is that second-quarter corporate earnings exceeded expectations. HSBC noted that the momentum of corporate performance in the second quarter was strong, especially for technology and financial stocks. Companies indicated that the impact of tariffs was moderate. In addition, HSBC expects the Federal Reserve to cut interest rates in September, forecasting a total rate cut of 0.75 percentage points by 2026, while the market generally expects a cumulative cut of more than 1.25 percentage points. HSBC also raised its forecast for this year's S&P 500 earnings per share growth from 9% to 12%, while the market average is expected to rise by 11%. In response to the upward revision of the earnings per share growth forecast, the year-end target for the S&P 500 Index was raised, with the most bullish scenario remaining at 7,000 points and the most bearish at 5,700 points. (Golden Ten Data)