Marko Kolanovic, chief global markets strategist, is leaving JPMorgan after 19 years at the firm.
Kolanovic will “explore other possibilities.” Hussain Malik will become head of global research, According to the memo.
The last “bear” is dead?
Over the past two years, the chief strategist has made several mistakes. As recently as last week, he came up with an update: The S&P 500 would fall 23 percent over the year to 4,200. Kolanovic has repeated that base case several times this year, though many have raised their estimates. The average Wall Street analyst estimate for the S&P 500 then was 5,317.
“There is a clear disconnect between the surge in U.S. equity values and the business cycle,” the strategists wrote, adding that the S&P 500’s 15 percent gain so far this year is not justified given the slowing growth outlook.
“There is a risk that the opposite of the optimistic expectations will happen in the coming quarters, as growth slows, inflation remains high, and long-term interest rates do not fall significantly.”
“Roaring Bull” in 2022
At the beginning of 2022, Kolanvoik predicted that the S&P 500 would reach 5,050 points by the end of 2022, and the conclusion was 3,839 points.
JPMorgan and Kolanovic have so far had the lowest price target for the S&P 500 on Wall Street. The average estimate today is 5,500.
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