Wall Street expects stocks to rise after the election obstruction

A growing number of Wall Street strategists predict that a decision in the US presidential election will pave the way for stocks to rally into late 2024, building on a 21% gain this year for the S&P 500 index.

Morgan Stanley’s Mike Wilson and JPMorgan Chase & Co.’s Dubravko Lakos-Bujas are among market watchers who said this week that the stock benchmark is poised to swing higher once a victory is declared. Meanwhile, Jefferies LLC strategists say stock weakness in the week before the vote has typically been a good harbinger of performance in the subsequent month, making last week’s decline a potentially bullish signal.