Lost Decade Ahead for Stocks With Only 3% Annual Returns?

S&P 500 News

Lost Decade Ahead for Stocks With Only 3% Annual Returns?
The Technology Select Sector SPDR® FundThe Communication Services Select Sector SPDR® ET
  • 📰 Investingcom
  • ⏱ Reading Time:
  • 35 sec. here
  • 4 min. at publisher
  • 📊 Quality Score:
  • News: 24%
  • Publisher: 53%

Stocks Analysis by Ed Yardeni covering: S&P 500, The Technology Select Sector SPDR® Fund, The Communication Services Select Sector SPDR® ETF Fund. Read Ed Yardeni's latest article on Investing.com

will produce annualized returns of only 3% over the next 10 years. They reckon that the range of possible outcomes includes -1% at the low end and +7% nominal returns at the high end.

If the productivity growth boom continues through the end of the decade and into the 2030s, as we expect, the S&P 500's average annual return should at least match the 6%-7% achieved since the early 1990s . It should be more like 11% including reinvested dividends. These two sectors account for more than a third of the S&P 500's forward earnings today versus less than a quarter in 2000 . We also believe that all companies can be thought of as technology companies. Technology isn't just a sector in the stock market, but an increasingly important source of higher productivity growth, lower unit labor costs inflation, and higher profit margins for all companies.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

Investingcom /  🏆 450. in US

The Technology Select Sector SPDR® Fund The Communication Services Select Sector SPDR® ET

United States Latest News, United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

S&P 500: Are Fear-Induced Selloffs Buying Opportunities?S&P 500: Are Fear-Induced Selloffs Buying Opportunities?Stocks Analysis by Ed Yardeni covering: S&P 500. Read Ed Yardeni's latest article on Investing.com
Read more »

The Current Bear/Bull Debate Settled in 3 Key PointsThe Current Bear/Bull Debate Settled in 3 Key PointsStocks Analysis by Ed Yardeni covering: . Read Ed Yardeni's latest article on Investing.com
Read more »

S&P 500: Improving Earnings, Strong Economy Make a Case for a Broader RallyS&P 500: Improving Earnings, Strong Economy Make a Case for a Broader RallyStocks Analysis by Ed Yardeni covering: S&P 500, US Small Cap 2000, The Utilities Select Sector SPDR® Fund, The Real Estate Select Sector SPDR® Fund. Read Ed Yardeni's latest article on Investing.com
Read more »

Yardeni Research calls China's stimulus measures 'twin bazookas'Yardeni Research calls China's stimulus measures 'twin bazookas'Yardeni Research calls China's stimulus measures 'twin bazookas'
Read more »

Fed rate cuts increase odds of 90s-style stock market meltup, Yardeni saysFed rate cuts increase odds of 90s-style stock market meltup, Yardeni saysFed rate cuts increase odds of 90s-style stock market meltup, Yardeni says
Read more »

The Widely Feared Phantom Recession Is OverThe Widely Feared Phantom Recession Is OverMarket Overview Analysis by Ed Yardeni covering: Brent Oil Futures, Crude Oil WTI Futures. Read Ed Yardeni's latest article on Investing.com
Read more »



Render Time: 2025-02-16 00:01:01