Citi lifts S&P 500 end-2026 target to 8,100 as easing oil prices broaden rally beyond tech

A potential U.S.-Iran peace agreement to reopen the Strait of Hormuz has pushed oil prices lower, helping fuel risk appetite. Citi raised its S&P 500 target for end-2026 to 8,100, arguing that cheaper energy could support consumer discretionary, financials and small-cap stocks and widen market participation. A SpaceX IPO was cited as a sign that public equity supply may be picking up again, though the note did not spell out how that would affect the market.