Despite growing concerns on Wall Street about a potential market pullback, equities still hold a significant advantage. The market remains in a strong long-term uptrend, and historically, this pattern often points to favorable conditions ahead.

Strategists at the financial publication The Kobeissi Letter note that the S&P 500's 200-day moving average has been rising for 329 consecutive trading sessions, marking the fourth-longest such run in the past decade. Prior to this, the indicator recorded a 460-session advance, which was briefly interrupted by the April 2025 market selloff tied to Trump's "Liberation Day" events; together, these two stretches total roughly 800 trading days. By this measure, it ranks as the third-longest uptrend since 1990.

When it comes to sustaining a bullish market trajectory, the longest historical run occurred during the dot-com era in 2000, lasting 1,448 trading days. Strategists point out that since 1999, when the 200-day moving average has been in an upward phase, the S&P 500 has delivered an average annual return of 8.5%. "Historical evidence suggests this bull market is far from over."

Thanks to robust corporate earnings, there remains a possibility for stocks to climb further before year-end, though the pace of gains is likely to be more subdued compared to the first half. On one hand, the upward momentum in bond yields is intensifying, and investors of all sizes should remain vigilant. The 10-year Treasury yield, the world's most critical interest-rate benchmark, influences mortgage, auto loan, and credit card rates, and it has recently touched cyclical highs. The 30-year Treasury yield is nearing two-decade peaks, which is unfavorable for market participants seeking long-term financial security.

Meanwhile, crude oil prices have climbed again amid geopolitical tensions tied to Iran and the situation in the Strait of Hormuz. Goldman Sachs issued a warning on Monday that if attacks in the Strait of Hormuz cause more shipping disruptions, oil prices could surge to $120 per barrel. JPMorgan strategist Mislav Matejka wrote: "For the broader equity market, we believe economic fundamentals remain resilient and corporate earnings growth momentum continues; weekly earnings per share (EPS) revision data is steadily improving, with net revisions currently positive across all major regions. Even so, there is widespread concern about a deep correction. We acknowledge that geopolitical risks, along with the resulting inflation and bond yield headwinds, could intensify further."

Matejka added: "But as long as corporate profits maintain their upward trajectory, every market dip will enhance valuation appeal. We recommend adding to positions on pullbacks."