Deutsche Bank Economists Predict S&P 500 Could Reach 7000 Points

Economists at Deutsche Bank have forecast that the S&P 500 index is likely to reach approximately 7000 points by the end of next year, driven by sustained strong buying of American stocks.

The experts highlighted that stock buybacks within the index are expected to see a significant uptick, with the volume of these repurchases projected to increase from the current annual rate of $1.1 trillion to around $1.3 trillion in the coming year. This increase reflects continued confidence in the resilience of the U.S. economy.

Regarding the outlook for U.S. economic growth, the economists emphasized that strong growth is anticipated, supported by potential tax cuts and a loosening of regulatory restrictions under the incoming administration. These factors are expected to create a favorable economic environment, which will further bolster investor confidence.

Deutsche Bank's economists also noted that the supply and demand dynamics for American stocks will remain robust, driving the S&P 500 toward new historical highs and reinforcing expectations for the index to reach the 7000-point mark by 2025.

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