Trump's Tax Reform and End of Corporate Profit Recession Equals a Bull Stampede
Here is why.
The S&P 500 is up more than 5% since Election Day, but the bull stampede is far from over, said Matt Jones, head of U.S. equity strategy at JPMorgan Private Bank.
The profit recession is over and an earnings recovery is underway, according to Jones, who expects earnings to rebound to 7% to 8% in 2017. Jones also sees Trump policies adding to the step-up in earnings.
Should corporate tax reform be passed, Jones sees an additional 9% to 11% upside on top of his base case, putting pro-forma S&P 500 earnings per share at $150.
