Wall Street predicts that the US stock market may experience multiple positive resonances in 2026

On January 12th, Wall Street strategists believed that the US economy and stock market may continue to rise in 2026 due to factors such as expectations of a Federal Reserve interest rate cut, tax incentives under Trump's Big America Act, falling inflation, and AI enhanced productivity. The latest CPI data is expected to remain at 2.7% year-on-year, and the downward space for inflation may exceed expectations. The cooling job market provides policy space for the Federal Reserve to cut interest rates, and the decline in US bond yields may lower financing costs. Goldman Sachs expects AI to drive a 12% increase in earnings per share for the S&P 500 by 2026. Analysts remind that the substitution risk of AI for employment may bring unstable factors.