The Stock Market Could Struggle From Here, Experts Say. How to Invest.

So far, 2023 has confounded economists, humbled forecasters, and rewarded investors. Despite a rapid rise in interest rates, the U.S. economy continues to grow. Inflation has fallen—if not quite to desired levels—and stocks have entered a bull market, with the S&P 500SPX-0.16% gaining 17% year to date and the Nasdaq Composite COMP 0.11% up more than 30%.

Neither the economy’s resilience nor the market’s strength seemed obvious, or even likely, at the end of 2022, a year that saw the Federal Reserve raise interest rates by more than four percentage points to combat soaring inflation, and the S&P 500 fall by 19%. Yet, the skies have been mostly sunny this year over Wall Street and Main Street alike, and the forecast for fall is more of the same, although with a bit more haze.

Source: Barrons