JPMorgan: Investor Sell-Off Wave Is Approaching Its Peak

JPMorgan strategists said that after last week's sharp selloff, investor pessimism may be nearing a peak, with the selloff viewed as a deleveraging episode. The JPMorgan team remains optimistic, viewing the midterm elections as a clearing event, expecting headwinds for data centers to be weaker than feared, and maintaining its year-end S&P 500 target of 8,000. The strategists said the economic cycle is currently in a phase of positive earnings estimate revisions, with high double-digit growth expected to extend into 2027 and 2028.