Evercore Predicts S&P 500 Rally to 7,750 by 2026 Amid Market Volatility Warnings
Evercore ISI projects the S&P 500 could surge to 7,750 by late 2026, marking a 13% gain from current levels. The benchmark index has risen for six consecutive months, defying concerns over valuations and sentiment. Analyst Julian Emanuel notes the market continues to climb a 'Wall of Worry,' with rate cuts, tariffs, and VIX fluctuations among key risks.
Near-term volatility is expected before positive fourth-quarter seasonality takes hold. Emanuel recommends hedging with SPDR S&P 500 ETF option strangles while maintaining long-term bullishness on AI and related sectors. No signals of a waning bull market—such as Fed hawkishness or slowing AI investment—have yet materialized.