JPMorgan Recommends Buying Market Dips Until 2026
New York, Friday, 7 November 2025.
JPMorgan advises investors to purchase stock dips through 2026, citing strong economic growth and reduced market headwinds. The S&P 500 is expected to surpass 7,000, reflecting a bullish outlook.
Economic Indicators and Market Outlook
JPMorgan’s recommendation for investors to buy stock market dips through 2026 is underpinned by multiple economic indicators showing robust growth. The US economy continues to demonstrate resilience with strong job creation, as private employers added 42,000 jobs in October 2025, surpassing the forecast of 25,000 jobs [1][2]. Despite the announcement of over 153,000 job cuts, the highest for October in 22 years, JPMorgan analysts believe these layoffs will not significantly impact unemployment rates [1]. Furthermore, the services sector is expanding, with the ISM’s Services PMI recorded at 52.4%, indicating a stable economic environment [2].
S&P 500 and Earnings Surprises
JPMorgan’s bullish stance is also reflected in their expectation for the S&P 500 to ‘blast through’ 7,000 in the near-term, driven by macroeconomic strength and diminishing headwinds [1]. This optimism is bolstered by the performance of S&P 500 companies, with 83% exceeding earnings expectations in Q3 2025, marking the highest earnings beat rate since 2021 [2][3]. Analysts highlight that these positive earnings reports provide a strong foundation for continued market growth, even as geopolitical and policy uncertainties persist [2][4].
Potential Market Influences
While the outlook remains positive, JPMorgan acknowledges potential influences that could affect market dynamics, such as the ongoing US government shutdown, which is currently the longest on record as of this week [2]. Once resolved, it could inject fresh liquidity into the market, potentially benefiting volatile sectors [1]. Additionally, a Supreme Court ruling on tariffs imposed during the Trump administration is anticipated in 2026, which could further influence market conditions [3].
Conclusion: Strategic Implications for Investors
JPMorgan’s strategic advice for investors to buy dips is rooted in a comprehensive analysis of current economic conditions and market trends. With a forecast of continued economic growth and a resilient market environment, investors are encouraged to leverage short-term price corrections as opportunities to enhance their portfolios [1][2][4]. This strategy, while optimistic, is underscored by caution regarding potential market fluctuations due to geopolitical and policy-related risks [4].