Ed Yardeni Boosts S&P Target Amid ‘Unprecedented' Earnings Expectations

• Yardeni raises his year-end S&P 500 target to 8,250 (from 7,700) and EPS to $330 (from $310) due to unprecedented earnings strength outside of recovery periods.
• First-quarter earnings are expected to increase 18% year-over-year, with full-year projections at 24%, driven by broad market strength including small and mid-caps.
• The consumer remains resilient due to baby boomers spending their record $89 trillion net worth, including supporting younger generations.
• Inflation concerns are downplayed, with wage inflation moderating and the labor market in equilibrium. Bond yields between 4.25% and 4.75% are considered normal, and intervention is possible if they rise too high.

Ed Yardeni boosts his year-end S&P 500 target to 8,250, citing 'extraordinary' first-quarter earnings and strong projections for the rest of the year. He highlights improving market breadth beyond tech and the resilience of the consumer, driven by demographics. Yardeni dismisses concerns about sustained inflation and rising bond yields, viewing current levels as normal and manageable.