Yardeni Research CEO predicts S&P 500 to grow by 60% through 2030

High levels of market uncertainty in the first half of the year led to many bearish forecasts for American stocks. However, the crisis has now passed, and the S&P 500 index is regaining momentum. Ed Yardeni, head of Yardeni Research, believes the biggest risk for investors today is a speculative bubble. That said, his overall outlook for the US stock market remains optimistic. He expects the S&P 500 to reach 6,500 by the end of 2025—5% above Monday’s closing level—and to surge by record 60% through 2030.

Yardeni estimates that the bullish investor sentiment is supported by the recovering US economy. Weakening of some indices, such as retail sales, the expert attributes to the temporary impact of Donald Trump's tariffs. General dynamics remains positive, he emphasizes.

Yardeni explains the recent S&P 500 rebound by the conclusion of the long-awaited trade deal between the United States and China. Another catalyst for the rally was Canada’s decision to drop its digital services tax, which prompted Trump to end tariff negotiations with the neighboring country.