Goldman Sachs has lowered its 2025-end target for the S&P 500 Index to 6,200, down from 6,500, pointing to heightened policy uncertainty—particularly around tariffs—and growing concerns about the economic growth outlook. The new target still implies a 10.6% gain from the index’s last close of 5,572.07, but the road ahead looks rocky. On Tuesday, the S&P 500 briefly teetered on the edge of a correction after President Donald Trump announced fresh tariffs in Canada, only to reverse course hours later, adding to market volatility.According to Goldman Sachs analysts, the recent market decline has been fuelled by a surge in policy uncertainty, fears of slowing growth, and a significant unwind of hedge fund positions. The so-called "Magnificent 7" stocks, once market darlings, have been hit hard, with their share prices plunging 14% and their price-to-earnings ratio dropping from 30x to 26x. As investors navigate this turbulent landscape, the interplay between Thatrade policies, economic data, and corporate earnings will likely dictate the market’s next move. Stay tuned volatility is far from over.
.png)
