Fundstrat's Tom Lee reiterated a bullish equity outlook, saying July's selloff was driven by one leveraged AI fund, August could rebound, and the S&P 500 could reach 7,800 as Jim Cramer backed Amazon and said he would exit Bitcoin.
Fundstrat's Tom Lee reiterated a bullish view on U.S. equities, saying 2027 could be one of the stock market's best years and arguing that July's selloff was driven mainly by the collapse of a heavily leveraged artificial intelligence fund rather than weaker corporate earnings. He said the market could rebound strongly this month, expects August to mark a recovery, and said the S&P 500 could rise to 7,800 from around 7,605 on Monday. In the same coverage, Jim Cramer urged investors to buy Amazon on weakness after what he described as a strong quarter, while saying he plans to sell all of his Bitcoin because of perceived quantum-computing risks.