Report published September 1, 2026
J.P. Morgan Equity Strategy: Global Equity Outlook & Market Broadening (September 2026)
Source and citation context
- Issuer
- J.P. Morgan
- Report date
- September 1, 2026
- Analysis as of
- August 28, 2026
Authors / editors: Mislav Matejka, CFA, Karishma Manpuria, Prabhav Bhadani, CFA, Anamil Kochar, Nitya Saldanha
Finvaulta summarizes J.P. Morgan's analysis. Attribute opinions, forecasts, time-sensitive values, and chronology to the issuer and report date; do not treat this page as an independent verification or a current market-data source.
J.P. Morgan Equity Strategy remains bullish on global equities into year-end 2026, driven by resilient activity momentum, expanding earnings delivery across all regions, and light investor positioning. The team recommends Overweight allocations in Emerging Markets, Eurozone equities, and Cyclical sectors (Mining, Capital Goods, Semis), while holding Neutral views on the US, Japan, and UK.
Key Takeaways
- 1.Stay bullish on global equities into year-end supported by positive earnings revisions across all regions, resilient economic activity, and broadening market participation beyond US Mega-cap Tech.
- 2.Overweight Emerging Markets and Eurozone vs. Developed Markets/US, taking advantage of lower valuations, light investor positioning, and expected USD softening.
- 3.Maintain Overweight on Cyclicals over Defensives, favoring Metals & Mining, Capital Goods, Construction Materials, Luxury, and Semiconductors, while remaining Underweight on Energy, Consumer Staples, Software, and Insurance.
Table of Contents
- Table of Contents
- Equity Outlook
- Key Drivers
- Regional Allocation
- Regional and Asset Allocation, with Index targets
- Themes and Baskets
- Sector Allocation
- Top Picks
- Technicals
- Equity Flows Snapshot
- Global Sector Valuations
- European Sector Valuations
- UK Sector Valuations
- Regional GDP, CPI, Interest Rate and Exchange Outlook
- European Countries' Valuations and EPS Growth Metrics
- Global Equities Performance & Valuations
- Appendix - Baskets
- Disclosures
Report data
Global All Country Regional Allocation and Asset Allocation — as of August 28, 2026.
| Metric | Estimate | Context |
|---|---|---|
| Global equities YTD performance (TR in USD) | 15% | Global equities total return in USD year-to-date. |
| MSCI Eurozone Dec '26 Target | 420 index points | Target level representing 7% upside from late-August levels. |
| FTSE 100 Dec '26 Target | 11000 index points | Target level representing 1% upside from late-August levels. |
| MSCI EM 12m Forward P/E | 10.1 x | MSCI Emerging Markets 12-month forward P/E compared to 20-year median of 11.7x (-14% discount). |
| MSCI US 12m Forward P/E | 20.0 x | MSCI US 12-month forward P/E compared to 20-year median of 16.6x (+20% premium). |
Reports in this series
Global Markets Strategy is shown in chronological order through this edition, published on September 1, 2026.
Part of the Global Markets Strategy series — view all 10 editions
- Jun 29JPM Equity Strategy
- Jul 6JPM Equity Strategy
- Jul 8JPM Flows Liquidity A 2026-07-08
- Jul 20JPM Equity Strategy
- Aug 3JPM Equity Strategy August
- Aug 10JPM Delta One Flows
- Aug 10JPM Equity Strategy
- Aug 17JPM Equity Strategy
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Authors / Editors
Reported Data Context
- Global equities YTD performance (TR in USD): 15 % (2026 YTD) · Source: Bloomberg Finance L.P. / Datastream
- MSCI Eurozone Dec '26 Target: 420 index points (Dec 2026) · Source: J.P. Morgan, Datastream
- FTSE 100 Dec '26 Target: 11000 index points (Dec 2026) · Source: J.P. Morgan, Datastream
- MSCI EM 12m Forward P/E: 10.1 x (Current (Aug 2026)) · Source: IBES
- MSCI US 12m Forward P/E: 20.0 x (Current (Aug 2026)) · Source: IBES