Another ATH Within Reach
What a rally! Look at the 5Y chart of the S&P 500 Index. We’ve had an intact bull run for four years now, largely driven by the AI narrative and the related tech stocks.
After a little consolidation earlier this year, we’re now heading toward another ATH above 7,816 points. Currently, we’re less than 1% away from it.
This is quite astonishing, considering the heavy headwinds we’re facing: the ongoing Iran conflict, the resulting pressure on oil prices, and a Fed that hiked interest rates just last week. Yet the market keeps pushing higher, showing just how strong the AI narrative remains after four years of upside.
There’s more to come, with the Midterms around the corner and the simple fact that the longer we go without a meaningful correction, the more notable the risk of one becomes.
Brace for that. Keep some powder dry while still enjoying the current ride, guys.