{"id":46138,"date":"2025-12-19T11:35:13","date_gmt":"2025-12-19T11:35:13","guid":{"rendered":"https:\/\/quickassetsmarket.com\/index.php\/2025\/12\/19\/heres-why-the-sp-500-index-and-its-etfs-like-voo-and-spy-will-soar-in-2026\/"},"modified":"2025-12-19T11:35:13","modified_gmt":"2025-12-19T11:35:13","slug":"heres-why-the-sp-500-index-and-its-etfs-like-voo-and-spy-will-soar-in-2026","status":"publish","type":"post","link":"https:\/\/quickassetsmarket.com\/index.php\/2025\/12\/19\/heres-why-the-sp-500-index-and-its-etfs-like-voo-and-spy-will-soar-in-2026\/","title":{"rendered":"Here\u2019s why the S&P 500 Index and its ETFs like VOO and SPY will soar in 2026"},"content":{"rendered":"
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The S&P 500 Index and its top ETFs, like VOO and SPY remained in a tight range in the past few months as jitters in the AI industry accelerated. It was trading at $6,775, a few points below the year-to-date high of $6,930. This article explores some of the top catalysts for the index and its ETFs.<\/p>\n

S&P 500 Index to benefit as inflation falls<\/h2>\n

The S&P 500 Index has been in a strong bull run this year, moving from a low of $4,835 in April to the current $6,775. This growth will likely accelerate after this week’s macro data.<\/p>\n

A report released by the Bureau of Labor Statistics (BLS) showed that the US unemployment rate rose to 4.6%, its highest level in years.<\/p>\n

Another report released on Thursday revealed that the headline and core inflation retreated<\/a> in November, a trend that may continue as the price of crude oil drops.<\/p>\n

Therefore, the combination of higher unemployment rate and low inflation means that the Federal Reserve will maintain a dovish tone in 2026. A Polymarket poll estimates that the Fed will deliver three cuts, higher than the one that the bank estimated.<\/p>\n

The stock market normally does well when the Fed is cutting interest rates, as this normally makes bonds less attractive.<\/p>\n

AI boom to continue <\/h2>\n

The main reason why the S&P 500 Index has wavered in the past few months is that there are concerns that the AI boom has started to falter. This explains why many AI stocks like CoreWeave<\/a>, Nvidia, Oracle, and Broadcom have tumbled in the past few weeks.<\/p>\n

Investors are concerned that some of the large deals that OpenAI has made are not real as the company has a long runway towards profitability.<\/p>\n

Still, there is a likelihood that the AI boom will continue in the foreseeable future, as evidenced by the recent Nvidia earnings<\/a>. <\/strong>The report showed that the revenue rose to $57 billion in the third quarter, while its guidance pointed to a $67 billion revenue figure in 2026.<\/p>\n

Recent news events show that the boom is continuing. For example, Blackstone is backing an Oracle data center<\/a> <\/strong>that Blue Owl Capital backed off. OpenAI is also negotiating a funding deal valuing it at $800 billion, while companies like Anthropic and IREN are continuing to invest.<\/p>\n

Therefore, there is a likelihood that highly embattled AI companies like Oracle and Broadcom will rebound once the ongoing panic ends.<\/p>\n

Earnings growth to continue <\/h2>\n

Meanwhile, there is a likelihood that earnings growth will continue in the coming year, continuing a trend that has been going on this year.<\/p>\n

FactSet data<\/a> shows that the S&P 500 Index had an earnings growth of 13% in the third quarter, higher than what analysts were expecting.<\/p>\n

Another report estimates that the S&P 500 will have an earnings growth of 8.1% in the fourth quarter, making it the 10th consecutive quarter of earnings growth. Chances are that the earnings growth will be much higher than estimates.<\/p>\n

Earnings growth will be robust as inflation falls and as the impact of Donald Trump’s Big Beautiful Bill spreads in the economy.<\/p>\n

S&P 500 Index to rally if it flips key resistance <\/h2>\n
S&P 500 Index chart | Source: TradingView<\/a><\/figcaption><\/figure>\n

The daily timeframe chart shows that the S&P 500 Index has been in a strong uptrend in the past few months. Recently, however, there are signs that it has formed a double-top pattern at $6,930 and a neckline at $6,526.<\/p>\n

A double-top pattern is one of the riskiest patterns in technical analysis. Therefore, the most likely scenario is where it retreats a bit in the coming weeks, potentially to the neckline at $6,525. <\/p>\n

In the future, however, there is a possibility that the index will rebound and possibly move above $7,000 in 2026. This view will be confirmed if it moves above the key resistance level at $6,930.<\/p>\n

The post Here\u2019s why the S&P 500 Index and its ETFs like VOO and SPY will soar in 2026<\/a> appeared first on Invezz<\/a><\/p>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

The S&P 500 Index and its top ETFs, like VOO and SPY remained in a tight range in the past few months as jitters in the AI industry accelerated. It was trading at $6,775, a few points below the year-to-date high of $6,930. This article explores some of the top catalysts for the index and <\/p>\n","protected":false},"author":1,"featured_media":46139,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":{"0":"post-46138","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-world"},"_links":{"self":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/46138","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/comments?post=46138"}],"version-history":[{"count":0,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/46138\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media\/46139"}],"wp:attachment":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media?parent=46138"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/categories?post=46138"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/tags?post=46138"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}