Wharton Professor Jeremy Siegel Says Stocks Could Climb 10% Or More In 2024 Investors are grappling with many questions as the new year approaches: Will stocks continue to climb in 2024? Will the Federal Reserve cut rates? Wharton Professor of Finance Jeremy Siegel appeared on CNBC’s “Closing Bell” Wednesday to [share his predictions for the new year.](https://www.benzinga.com/markets/equities/23/12/36414253/spy-etf-on-track-for-500b-milestone-boosted-by-s-p-500s-peak-performance-record-inflows-in-2023) Siegel’s Bullish Call: The markets are set to close out 2023 much higher than most expected with the S&P 500 and SPDR S&P 500 ETF [SPY](https://www.tradingview.com/symbols/AMEX-SPY/) up nearly 25% year-to-date and the Nasdaq up 35% for the year. Looking ahead, Siegel remains bullish on equities. The Wharton professor said he expects the markets to continue to climb next year and noted that we could ultimately close out 2024 up another 10% to 12%. When pressed for more detail, Siegel indicated that it’s possible the S&P 500 could reach 5400 by the end of 2024 and 6000 by the end of 2025. Fed Chair Jerome Powell’s comments following the Fed’s December meeting showed that Fed policy remains flexible. The central bank indicated that it’s open to [lowering interest rates](https://www.benzinga.com/economics/macro-economic-events/23/12/36360990/feds-favorite-inflation-gauge-cools-more-than-expected-cementing-rate-cut-expecta), which has helped drive markets higher into the end of the year. Siegel told CNBC that “a soft landing looks increasingly likely,” adding that market enthusiasm combined with good earnings could drive the market a lot higher in 2024. Related News: [If You’re Selling The Magnificent 7 Following Outperformance In 2023, You Could Face This ‘Nightmare Scenario’ In 2024](https://www.benzinga.com/news/23/12/36333059/if-youre-selling-the-magnificent-7-following-outperformance-in-2023-you-could-face-this-nightmare-sc) Liquidity Concerns: Siegel did voice concerns over the lack of liquidity and stagnation in money supply and argued that the Fed should cut rates to increase liquidity in the market. Although the Fed has indicated that it remains data dependent, Siegel believes the first rate cut should happen in March. “The last thing you want to happen is for him (Powell) to be as stubborn on the way down as he was on the way up two years ago,” Siegel said. Image: Gerd Altmann from Pixabay © 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
