Bull Market Waning as Barclays Sees 1% Gain for S&P 500
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Five years of profit growth exceeding 17 percent is poised to slow in the Standard & Poor’s 500 Index, reducing returns as the bull market ages, according to Leuthold Group LLC and Barclays Plc.
Equity price gains approaching 25 percent annually will weaken to 3 percent over the next decade as the profit expansion reverts to its historic rate since 1929, said Doug Ramsey, the chief investment officer at Leuthold. Jonathan Glionna of Barclays says overseas markets are generating too little demand to push the S&P 500 up more than 1 percent in the rest of 2014.