J.P.Morgan on Wednesday joined major Wall ​Street brokerages to ​raise its 2026 year-end target for the S&P ​500 index, lifting it to 7,800, citing strong earnings momentum driven by the AI-led investment boom and resilient economic conditions.The current target, roughly 6% ‌higher than ⁠the ⁠index's last close of 7,365.46 points, adds to a chorus of ​bullish brokerage calls, with at least seven research firms raising their targets this ​month.The brokerage previously forecast the index to end the year at 7,600.It also lifted its S&P 500 earnings-per-share forecast ​to $350 for 2026 and expects them ⁠to hit $390 ‌for 2027."The path upwards will be non-linear, ​as ​the market will need to clear various hurdles," ⁠J.P.Morgan strategists said in their mid-year outlook note."Strong back-to-back ​earnings have reset the bar higher heading into ​the 2Q season, making it more difficult for companies to significantly surprise to the upside on both earnings and capex," they said.The S&P 500 is up 7.6% so far this year, broadly driven by AI optimism, while the ‌U.S.-Iran peace deal has also helped revive investor sentiment.However, rapidly rising equity issuance over the ​coming quarters, along ​with the prospect ⁠of tighter monetary policy, could weigh on equity valuations, J.P.Morgan warned.Separately, BCA Research strategists in a note dated June 23 lifted their ​index target to 8,100 from 7,700."Put simply, we are raising the target because earnings have improved, not because we are willing to pay more for those earnings," BCA said in a note.