JP Morgan Strategist Expects 20% gain on S&P 500

JP Morgan chief U.S. equity strategist, Dubravko Lakos-Bujas, has a year-end S&P 500 target of 4800, reflecting a 20% gain from here, and a record high.

He doesn’t expect a global recession and sees inflation easing as commodity prices decline and other pressures fade.

He notes that people are underinvested: As of late August, funds’ relative exposure to the stock market was lower than 90% of historical readings.

Alongside corporate share buybacks, he expects to see daily inflows into equities of several billion dollars a day over the next few months, lifting indexes.