iShares Core S&P 500 ETF

IVV

Market cap $735B

The S&P 500 came off its best week since May with another solid performance. The index closed the week out on a four day win streak, putting it within inches of a new record high.

Market Domination Overtime anchor Josh Lipton breaks down the latest market moves for December 5, 2025. Deutsche Bank director of global asset allocation and US equity strategy Parag Thatte tells Josh about Deutsche Bank's call for the S&P 500 to hit 8,000 next year.

We expect a slight (50-75p) pullback before the next leg higher kicks in, ideally to 7000+, possibly as high as 7120. Then the chances for a prolonged multi-month correction to 5400-6200 increase again.

The S&P 500's forward 10-year returns are often misrepresented as tightly and negatively correlated with its trailing P/E ratios. Statistical flaws—non-independent samples and outlier events—made the correlation far tighter than it actually is.

Regardless of whether you're an everyday investor or experienced advisor, the rebalancing of the S&P 500 is always worth keeping a close eye on.  Later today, after the market closes, we'll learn what companies will be added and removed to the S&P 500 later this month.

As AI continues to power market momentum, a diversified approach is key. Here are some ETFs that can help investors benefit from the AI rally without overexposure.

The S&P 500 Index has had a strong performance this year as it jumped to a record high several times. It has soared by 41% from its lowest level this year, and Wall Street analysts believe that the index and its ETFs, like SPY, VOO, and IVV have more upside in the coming years.

The S&P 500's valuation is widely debated, with 'bubble' concerns prevalent, yet institutions keep raising 2026 estimates. Market outcomes hinge on set multiples, with growth as the primary driver of future returns.

U.S. indices saw early Friday strength, with the Nasdaq 100, Dow Jones 30, and S&P 500 all pushing higher and testing key breakout levels. Pullbacks toward major support zones and the 50-day EMA are viewed as potential buying opportunities.

With all major equity indices regularly creating new all-time highs, it becomes increasingly tempting to guess the market top. I suggest investors monitor junk bond yield and avoid drastic allocation away from equity despite high valuation multiples.