billionaire hedge fund manager paul tudor jones expects the broader markets to head higher through the end of the year but over the next five to 10 years he sees markets stuck in a trading range filled with big individual winners and losers what to know jones the founder and chief investment officer of tudor investment believes the spdr sp 500 spy can rally another 10 this year but longerterm investors will have to sharpen their stockpicking skills i think were in just a big massive trading range  i think were going to have a more bifurcated market than weve ever had jones said monday on cnbcs squawk box despite expecting stocks to bounce around for a multiyear period the longtime investor believes a shortterm rally is ahead driven by the end of the federal reserves interest rate response to high inflation he compared the current market setup to mid2006 leading up to the great financial crisis in which stocks trended up after the fed stopped tightening but his longerterm thesis is being driven by ai i do think that the introduction of large language models artificial intelligence is going to create a productivity boom that weve only seen a few times in the last 75 years jones said there was a postworld war ii productivity boom in the 1950s another in the 1980s driven by the introduction of pcs and then there was a productivity boom in the 1990s sparked by the internet he said adding that all of them increased productivity by somewhere between 1 and 3 see also retail sales preview will consumer demand fall how markets reacted to prior reports jones told cnbc that ai could drive a 15 increase in productivity each year over the next five years which could boost stocks expand pricetoearnings ratios and drag inflation down i think this one will be more bifurcated than it was back in those other ones but yes that makes me think the tide is coming in for the stock market he said last year billionaire investor stanley druckenmiller said he expects the dow jones industrial average to trade essentially flat over the next 10 years when jones was asked about druckenmillers take he didnt rule it out as a possibility we have a longterm productivity boom thats going to come from llms  so he can be right and i can be right because there are going to be some big winners and big losers jones said check this out the spy drops as traders price in possible 8th consecutive rate hike the bull bear cases as volatility picks up spy price action the spy is up approximately 82 yeartodate it was up 011 at 41205 at the time of writing according to benzinga pro