The market is going to worsen early in 2024 before recovering, according to Evercore ISI.
The firm sees the S & P 500 falling in the first half of next year to 3,970 as a "recession materializes and politics [amplify] volatility."
An inverted yield curve also portends the start of a recessionary period in the first quarter of 2024, he added.
"'Defense Wins Championships' is a consistent theme between [the] last hike and first cut in the recession playbook," said Emanuel.
By comparison, the S & P 500 is up 20.1% year to date.
Persons:
That's, Julian Emanuel, Emanuel
Organizations:
ISI