Alright, let's get this straight. Another Wall Street "strategist" – this time some dude named Michael Wilson at Morgan Stanley – is predicting the S&P 500 is gonna keep going up. Groundbreaking stuff, really. I mean, what else is he gonna say? "Sell everything, the world's ending?" Then he'd be out of a job faster than you can say "pink slip."
So, Wilson's crystal ball says the S&P 500 will hit 7,800 by the end of 2026. A 16% rally in the next year, he claims. And get this – he's expecting earnings per share to jump by 17% and 12% in the next two years. Wow. Just wow. It's like these guys are paid to state the bleeding obvious. Stocks go up. Got it.
He even trots out the usual suspects as justification: "improved pricing power, AI-driven efficiency, accommodative tax and regulatory policies, and stable interest rates." Sounds like he just copy-pasted that from a corporate earnings call. Give me a break. The only thing "stable" about interest rates is that they can go up or down, depending on which way the wind blows.
And AI? Please. We're still trying to figure out if AI can write a decent poem, and he's saying it's gonna single-handedly fuel a stock market boom? I'm not buying it.
Oh, but wait, there's more! He throws in a "near-term risk" about the Fed being too hawkish. Gotta cover those bases, right? Can't be accused of being too optimistic. And then, just for kicks, he warns about a "hot" economy reviving inflation. So, basically, anything could happen. Thanks for the insight, Nostradamus.
Apparently, this guy was voted the second-best portfolio strategist this year. Second-best at what, exactly? Making vague predictions that have a 50/50 chance of being right?
I mean, it says here that he maintained a bullish view in April 2025, even when stocks tanked. Then, when Trump dialed down his trade war, the market rebounded. So, was that Wilson's genius at work, or just dumb luck? Offcourse, he'll take credit either way.
Goldman Sachs is saying US stocks will lag international markets. So, who do we believe? The guy who's paid to be optimistic, or the other guy who's paid to hedge his bets? It's all just noise.
And let's be real, anyone who thinks these "strategists" actually know what's going to happen is kidding themselves. They're just throwing darts at a board and hoping something sticks. Except the board is made of money, and their darts are made of... well, more money. My neighbor's cat, Mr. Fluffernutter, probably has a better track record, and he mostly just sleeps and eats tuna.
The S&P 500 has been on a tear, notching 20%+ gains for the last two years. Okay, great. But does that mean it's going to keep going up forever? Of course not. What goes up must come down. It's basic physics, people. It's like Newton's third law of investing: for every bull market, there's an equal and opposite bear market waiting in the wings.
But, hey, what do I know? Maybe Wilson's right. Maybe we're all gonna be rich. Maybe pigs will fly and I'll win the stanley cup while riding a unicorn. Then again, maybe I'm just a cynical jerk who's jealous of people who get paid to make wild guesses about the future. Nah, scratch that. I'm definitely right.
Look, here's the deal: these predictions are meaningless. They're designed to keep the machine running, to keep people investing, to keep the fees flowing. Don't fall for it. Do your own research, trust your gut, and for god's sake, don't bet the farm on some Wall Street guru's "expert" opinion. Because when the market inevitably crashes, guess who won't be there to hold your hand? That's right, Mr. Michael Wilson and his crystal ball. According to a recent report, Morgan Stanley’s Wilson Is Among Top Stock Bulls With Call for 16% S&P Rally, his prediction is among the most optimistic on Wall Street.
