The S&P 500 is on track to reach a historic 10,000 milestone by the end of 2029, propelled by an unprecedented wave of corporate profitability rather than a speculative bubble, according to veteran market strategist Ed Yardeni.

The president of Yardeni Research stated he is aggressively lifting his long-term targets, admitting that he is among the people who “haven’t been bullish enough” on the market’s current record-breaking trajectory.

The Roaring 2020s

Speaking on CNBC, Yardeni stated that the broader market is firmly entrenched in a massive economic expansion that continues to defy skeptical Wall Street forecasts.

“It sure feels like the Roaring 2020s are here,” Yardeni said, noting that the U.S. economy has successfully navigated persistent geopolitical and macroeconomic disruptions.

Rather than being driven by a speculative fear of missing out, Yardeni attributes the record-breaking rally directly to robust corporate performance.

“We’ve been in what I call not a FOMO market but a FEMA market—FEMA meaning fabulous earnings momentum,” he explained. “Earnings have been unbelievably strong.” Yardeni added that he would “rather have an earnings-led melt-up than a valuation-led melt-up,” emphasizing that stable valuation multiples prove the market rally is fundamentally healthy and sustainable.

Unstoppable Consumer Resilience

Despite aggressive Federal Reserve interest rate hikes that brought the funds rate up to 5.5%, corporate expectations remain remarkably strong, with an anticipated 20% earnings growth over the next seven quarters.

Yardeni emphasized that bearish analysts continue to “underestimate the resilience of the US economy and the US consumer.” A major pillar of this ongoing financial stability is an unprecedented demographic cushion.

“The baby boomers are retiring with $89 trillion in net worth,” Yardeni noted, providing a powerful tailwind for sustained market spending.

With oil prices rapidly cooling and high-profile market debuts like the Space Exploration Technologies Corp. (NASDAQ:SPCX) IPO heavily boosting retail investor sentiment, Yardeni dismissed lingering fears of an impending summer downturn, declaring that the broader market remains completely cleared for substantial upside.

How Have Markets Performed In 2026?

The S&P 500 index has advanced 10.15% year-to-date. Similarly, the Nasdaq Composite index was up 14.84%, and the Dow Jones gained 6.80% YTD.

The SPDR S&P 500 ETF Trust (NYSE:SPY) and Invesco QQQ Trust ETF (NASDAQ:QQQ), which track the S&P 500 and Nasdaq 100, respectively, closed higher on Monday. The SPY ended up 1.76% at $754.83, while the QQQ was higher by 3.14% to $744.00.

Meanwhile, Dow tracker, State Street SPDR Dow Jones Industrial Average ETF Trust (NYSE:DIA), closed 1.05% higher on Monday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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