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Tom Lee's First Outbound Trip of the New Year: A Broad Market Rise at the Start of the Year Is a Good Sign, Bear Market May Appear Mid-Year
Tom Lee stated in an interview with CNBC that a broad market rally at the beginning of 2026 (stocks, precious metals, cryptocurrencies, etc.) has always been a good sign for investors and institutional investors, indicating good market breadth. This year will be a year of "joy, depression, and rally," similar to the pattern in 2025.
There will be moments this year when it feels like entering a bear market, but then there will be a strong rebound, and ultimately the stock market will end on a bullish note. He predicts the S&P 500 could reach 7,700 points by the end of 2026. He believes that when the market tests the new Federal Reserve Chair, there could be a 15% to 20% correction, especially in the second half of the year. But this is not the end of the cycle; it’s a buying opportunity.