S&P 500 price targets — week of August 31, 2026

HorizonTargetImplied moveNote
Current7,711.76Fri Aug 28 close
1 month7,850+1.79%Base case into the September data cluster
3 month8,000+3.74%Base case into Q4
Year-end 20268,150+5.68%Structural bullish anchor — HELD

The week that was

The S&P 500 closed Friday, August 28 at 7,711.76 (+0.77% WTD, the second consecutive winning week) after a tech-led rally (XLK +3.13% WTD on NVDA's $96.2B Q2 FY27 re-acceleration) absorbed Chair Warsh's hawkish Jackson Hole keynote: 10Y +8 bp WTD to 4.72%, GLD -4.17% WTD, VIX crushed -8.95% WTD to 14.43.

Then Sunday brought the geopolitical twist: a CENTCOM strike on Iranian rocket launchers near the Strait of Hormuz revived the geopolitical premium overnight — Brent tapped $90, WTI near $86. Markets now price a 55.7% September rate-hike probability per CME FedWatch — up from 35.4% pre-Warsh. The September cut window hasn't just closed; the hike window is cracking open.

The week ahead

The framework

Three forces collide this week: (1) the hawkish-Warsh verdict — no-cut consensus re-validated, hike pricing at 55.7%; (2) the AI capex re-acceleration — NVDA's $108B outlook keeps the structural bid under tech; (3) the revived Hormuz premium — Brent $90 overnight re-opens the inflation-fear channel. The desk's read: the AI thesis carries the index as long as the data doesn't force the Fed's hand.

Targets — held

1-month 7,850 (+1.79%), 3-month 8,000 (+3.74%), year-end 8,150 (+5.68%) — HELD. The hawkish repricing is absorbed, not feared; the anchor holds into NFP.

Bottom line

The desk heads into the week with SPX at 7,711.76, Warsh hawkish, hike odds at a 55.7% coin-flip, Brent tapping $90 on a Sunday Hormuz strike, and NVDA's re-acceleration underwriting the tape. The week is a data gauntlet ending in Friday's NFP (+55K consensus). Year-end 8,150 — HELD.

Disclaimer: This research is for informational purposes only and does not constitute investment advice. Options trading involves substantial risk of loss. Past performance is not indicative of future results.