The S&P 500 crossed above 7,800 for the first time, pushing the total market capitalization of America’s benchmark equity index to a record $70.8 trillion, roughly equivalent to the combined GDP of the US, China, and Japan. This milestone was reached months ahead of Wall Street’s most optimistic year-end forecasts, with both J.P. Morgan and Morgan Stanley having set their year-end 2026 target at 7,800. The index has climbed more than 20% from below 6,400 earlier in 2026, moving from 7,000 to 7,800 in roughly seven months for an 11.4% gain. The rally is being driven by strong corporate earnings growth and continued artificial intelligence spending, though the index is now trading at more than 42 times earnings, significantly above its long-term average in the mid-teens to low twenties.
Source: Read the original article
