Ed Yardeni Suddenly Raises S&P 500 Year-End Target, Fueled by Big Earnings Momentum — Here’s His Forecast

The head of Yardeni Research believes the S&P 500 could continue to climb to all-time highs on its way to breaking 8,000 points by the end of the year.

In a new interview with CNBC, veteran strategist Ed Yardeni He says He raises his year-end target for the stock market index to 8,250.

According to Yardeni, fundamentals are driving the market’s rise rather than investor speculation.

“I think that’s actually the obvious reason, which is earnings. I recently talked about FOMO versus FEMO. FEMO’s amazing earnings momentum. That’s really what’s been driving the market, not FOMO, not fear of missing out.”

Looking at stock market performance in the past few years, Yardeni says the depth and liquidity of U.S. capital markets is fueling technological progress and sustainable economic growth.

“Everyone was talking about American exceptionalism in 2024. Then the whole thesis fizzled out in 2025. But we have amazing capital markets. We have a huge amount of capital available for innovation. And that’s what’s driving the technology revolution. The technology revolution drives productivity, and productivity is fairy dust. It makes everything better in the economy: better growth, lower inflation, higher real wages, and big profits.”

Yardeni also disputes claims that the market is looking frothy as the S&P 500 looks poised to hit new highs. It also confirms that the bull market will continue as long as the earnings growth story remains alive.

“We actually had some crashes. I mean, we had a crash at the beginning of last year. It turned out to be a great buying opportunity. We had a crash in March. It turned out to be a great buying opportunity…

So I think there’s a tremendous amount of wealth in the United States, and on a global basis, there’s a desire to invest in the United States. “I think profits drive everything.”