Bank of America predicts an S&P 500 slump in 2022 — but it still believes in these 3 sectors

Bank of America predicts an S&P 500 slump in 2022 — but it still believes in these 3 sectors

If you’re still bullish on the U.S. stock market, you may not want to hear what Bank of America has to say.

The second-largest bank in the U.S. has a forecast of 4,600 for the S&P 500 by the end of 2022. With the benchmark currently hovering around 4,790, that means the bank is pointing to negative returns for the coming year.

“The probability of a 10% correction in the near term or over the next 12 months is elevated,” the bank’s U.S. stock and quantitative strategy chief Savita Subramanian told Bloomberg earlier this month.