“Can the S&P 500 Rise to New Heights at the 4300 Level?
It seems more and more likely that the S&P 500 will be able to hold the 4300 level in the near future. It has been on a steady upward trend since December and appears to have solidified its position above the 4000 level. In order for the market to remain bullish, it must continue to remain above this level in coming weeks and months. The market's underlying health appears to be solid with investors taking an optimistic stance. This is evident in the positive trading volumes as well as renewed confidence that decades of an aging bull market have not come to a full stop just yet. Economic growth forecasts also appear to be on the rise, with recent IMF forecasts predicting an upward trend in growth for 2021. Looking at recent events, the market looks to have broken away from fears of a double-dip recession and has given investors and companies much-needed confidence. It appears that the introduction of the third round of stimulus checks alongside additional unemployment benefits have given many Americans a boost in confidence as the majority of people appear to remain optimistic about life in this new environment. Additionally, a string of positive earnings reports has kept companies trading in the green, further supporting the collective idea that the future of the market is still bright. As long as this remains true, the S&P 500 will likely remain above the 4300 level and even increase its position in the near future. Ultimately, only time will tell if the S&P 500 will be able to sustain the 4300 level. However, it is clear that the market is currently showing all the signs of contentment and confidence. If the current trends continue then it is definitely possible that the S&P 500 will remain above the 4300 level and continue to grow for the rest of 2021.