S&P 500 target forecast for 2023 by global banks
Source: Investing
Bank
|
S&P 500 target for 2023
|
Deutsche Bank
|
4500
|
Jeffries
|
4200
|
JP Morgan
|
4200
|
Wells Fargo
|
4200
|
Credit Suisse
|
4050
|
Bank of America
|
4000
|
Citigroup
|
4000
|
Goldman Sachs
|
4000
|
HSBC
|
4000
|
Morgan Stanley
|
3900
|
UBS
|
3900
|
BNP Paribas
|
3400
|
How to use this information to your advantage in trading?
It is clear from the above estimates that the world’s biggest banks agree that we are in for another very interesting year. The most bullish vote ever belongs to Fundstrat, which expects the S&P 500 to rise by another almost 20% to 4,750 points during 2023, which would be an all-time high. Of the big banks, then, the most optimistic view belongs to Deutsche Bank. The most frequently cited value is 4,000 points, which coincidentally is also the current level of the S&P 500. The average target price after a survey of 23 banks is at 4080 points. If that expectation is met, many of the buy-and-hold style investors are in for a lean period, yet again.
However, we certainly don't expect the markets to "move sideways" this year. It is quite likely that we will see a lot of volatility again and the S&P 500 may have a very thorny road to that 4000-point mark. Active index and stock traders in particular may benefit from this. The ideal tool here is CFD stocks, where you can speculate on a price drop and make potentially very good profits (take inspiration from the TOP 3 CFD stocks for December 2022, for example).
Many opinions even expect the S&P 500 to fall further. The most skeptical is, for example, BNP Paribas, which has a price target of even 3,400 points. What are the main risks to watch out for this year? And which scenario is more likely?

S&P 500 index on the D1 timeframe in the MT4 platform. The chart shows bullish rallies in the summer and autumn during the earnings season.