BlockBeats news, on December 9, J.P. Morgan's strategists stated that as investors take profit-taking actions, the recent rise in U.S. stocks may stagnate after potential rate cuts by the Federal Reserve.
The J.P. Morgan team, led by Mislav Matejka, wrote in a report: 'Investors may prefer to lock in profits before the end of the year rather than increase directional exposure. Rate cut expectations have been fully reflected in prices, and U.S. stocks have returned to high levels.'
J.P. Morgan strategists maintain a bullish outlook on the medium-term prospects, stating that a dovish Federal Reserve will support U.S. stocks. Mislav Matejka wrote that, meanwhile, low oil prices, slowing wage growth, and easing U.S. tariff pressures will enable the Federal Reserve to loosen monetary policy without raising inflation. Other factors that may boost U.S. stocks in 2026 include: reduced trade uncertainty, improved economic prospects in Asia, increased fiscal spending in the Eurozone, and the rapid promotion of artificial intelligence in the United States. (Golden Ten)
