Revised Outlook for the S&P 500 Amid Rising Stagfl…

From Barchart: 2025-04-02 09:19:00

Market analyst Ed Yardeni revises S&P 500 outlook, predicting best-case scenario of 6000 by 2025 due to rising stagflation risks from U.S. tariffs. Earnings forecasts lowered to $260 per share for 2025 and $300 for 2026, citing potential growth recession and profit margin pressures.

New tariffs, including 25% on imported autos, steel, aluminum, and possible 20% flat tariff on all imports, increase stagflation risks. Yardeni now sees 45% chance of stagflation, reducing odds of “Roaring 2020s” scenario to 55%. S&P 500 price targets adjusted to 5100-6000 for 2025 and 5950-7000 for 2026.

Adjustments reflect growing unease in U.S. equity outlook amid trade policy volatility. Long-term growth theme remains, but immediate challenges from tariffs and stagflation risks prompt caution. Financial metrics driving forecasts, including S&P 500 earnings and performance trends, can be monitored through Key Metrics (TTM) endpoint.



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