Investors Have 6 Months to Buy the Dip Before Selloff, Says SocGen Strategist Eyeing S&P 500 Rally to 4,750

Investors have 6 months to 'buy the dip' before a stock selloff, says Société Générale strategist Manish Kabra.

Kabra expects profits and economic data to improve over the next 2 quarters, supporting his S&P 500 target of 4,050-4,750.

Kabra differs from others warning about weak earnings, seeing positive signals like falling earnings estimate dispersion.

Kabra says 10-year Treasury yields between 4-5% are fine absent a recession, but a hard landing could push yields to 2.5-3%.

Another SocGen strategist warns a recession could spark an 1987-style stock market crash given high valuations.