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Aug. 23, 2021, 1:54 p.m. EDT

UBS Wealth Management lifts S&P 500 2021 target to 4,600 and forecasts index to hit 5,000 by end of next year

UBS Global Wealth Management said it raised its S&P 500 targets on the back of strong quarterly results for U.S. corporations and a likely easy-money posture from the Federal Reserve. "Solid economic and corporate profit growth, in conjunction with a still-accommodative Fed, means that the environment for stocks remains favorable," wrote David Lefkowitz, head of equities Americas at UBS Global Wealth Management, in a Monday research note. The wealth management unit has raised its targets for the S&P 500 (S&P:SPX) 2021 to 4,600 from, 4,500 and has initiated a target of 5,000 for the broad-market index for the end of 2022 after raising its second-half forecast for that year to 4,800 from 4,650. The upgrade comes as the S&P 500 carved out an intraday record on Monday, up more than 1% to 4,489.88. Meanwhile, the Nasdaq Composite Index (NASDAQ:COMP) was surging 1.6% at around 14,944, at last check, after logging its own intraday record at 14,951.88. The Dow Jones Industrial Average (DOW:DJIA) was trading 0.7% higher at 35,378.

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