S&P 500 Index has rallied 17% from its mid-October low. Economists at Deutsche Bank analyze how the equity index could evolve next year.

Current bear market rally to continue into Q1

“In the short-term we see the current bear market rally continuing into Q1.”

“As the recession begins in Q3, the S&P 500 to bottom at 3250, before recovering into year-end.”

“A year-end 2023 target of 4500 for the S&P 500.”

See: Lasting rise in equity markets no sooner than the first half of 2023 – Natixis