This article is based on a presentation from John Mauldin’s 2021 Virtual Strategic Investment Conference, which is being held from May 5 to 18. To register for this conference, click here. The Strategic Investment Conference was just approved by CIMA and CFP for 19 hours of continuing education credits.

The strong economic recovery will not be interrupted by inflation or a credit crunch, according to Ed Yardeni, and the S&P 500 will soon reach 4,500.

The S&P 500 was at 4,200 on the day he spoke. Yardeni’s forecast projects a 7.1% increase in the index, on top of the 13.25% year-to-date gain.

Yardeni is the president of Yardeni Research, Inc., a provider of global investment strategies and asset-allocation analyses and recommendations. He previously served as chief investment strategist of Oak Associates, Prudential Equity Group, and Deutsche Bank's U.S. equity division in New York City.

He spoke as part of a panel on May 10 at the Strategic Investment Conference, hosted by John Mauldin.

Not only will the bull market in stocks continue with strong profits, he said, but the bond yield will go to 2% by year end and 2.5% to 3% next year.