{
  "id": 3108965,
  "title": "JPMorgan stays constructive on stocks, expects a grind higher with rotation",
  "url": "https://urgent.news/2026/08/24/jpmorgan-stays-constructive-on-stocks-expects-a-grind-higher-with",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-24T21:00:00.000Z",
  "source": {
    "name": "Hellenic Shipping News",
    "slug": "hellenic-shipping-news",
    "url": "https://www.hellenicshippingnews.com/jpmorgan-stays-constructive-on-stocks-expects-a-grind-higher-with-rotation/"
  },
  "original_language": "en",
  "account": "JPMorgan maintains an optimistic outlook for equities heading into the year-end, but expects gains to be driven by rotation rather than a widespread rally. Strategist Fabio Bassi wrote that the bank remains positive on equities, expecting a gradual increase in stock prices rather than a sudden \"melt-up.\" The rebound in the semiconductor sector signals a tactical improvement in risk appetite, and the bank believes that positioning and dispersion will fuel the next leg of the rally. JPMorgan favors Quality Growth stocks and hyperscalers, but also finds semiconductors attractive due to recent market revaluations. The Federal Reserve's patient stance is currently dampening volatility, providing a more stable environment for investing. A prolonged period of genuine disinflation, as described by the Fed, could further fuel the rally, according to JPMorgan. The bank attributes the recent steepening of the developed market yield curve to supply-side \"crowding out,\" as hyperscaler capital expenditures compete with sovereign bond issuances, and the higher real returns on investment as confidence in AI monetization improves. JPMorgan does not interpret the rise in long-term yields as a sign of policy errors, as they see it more as increased demand for capital and investment opportunities. The bank's baseline scenario predicts only a modest increase in term premiums, which does not signal a broad risk-off move. Additionally, the Treasury's ongoing 10-year and 30-year buybacks suggest caution towards escalating long-term yields. JPMorgan's analysts do not expect the upcoming Jackson Hole conference to resolve the ongoing debate surrounding the reaction function.",
  "summary": "JPMorgan told clients in a note on Monday that it remains positive on equities heading into the year-end, but expects gains to come through rotation rather than a broad melt-up. “In equities, we stay constructive into year-end, expecting a grind higher with rotation rather than a broad melt-up move,” strategist Fabio Bassi wrote. The bank ...",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}