Bank of America Raises S&P 500 Target to 5400

Bank of America's equity and quant strategist, Savita Subramanian, has increased the end-of-year S&P 500 target to 5,400, citing various factors including sell side indicators, technical analysis, earnings surprises, and long-term valuation. Despite the likelihood of a market pullback, the team remains bullish, attributing the increase to a shift in the S&P 500's mix towards higher margin, lower earnings risk industries. The market is expected to broaden beyond current themes, and U.S. stock-index futures are mixed as benchmark Treasury yields move higher.