BoA says S&P500 'melt-up' top to come between the election and inauguration
An analyst at Bank of America says 3,600 will mark the top.
- To come between election and inauguration day.
Citing investors getting in ahead of good news on:
- fiscal stimulus, expected in Q4
- a coronavirus vaccine, fund managers expecting this in Q1 2021
And also Federal Reserve monetary support for the market, which will peak this year and not be repeated in 2021.
"We believe the top in asset prices comes between election & inauguration, as fiscal, vaccine, recovery fully priced-in with SPX>3600, and bond yields on the rise"