Goldman Sachs’ chief US equity strategist, David J. Kostin, initially forecasted a solid 11% rise in the S&P 500 Index to 6,500 by 2025’s end during Trump’s second inauguration. However, events such as China’s DeepSeek technology burst and tariff changes led to Kostin changing his target four times in four months.

Wall Street strategists like Kostin have been grappling with the uncertainty caused by Trump’s trade policies, leading to rapid changes in forecasts. By May, the average S&P 500 outlook was slashed by 9%, only to see a bullish trend return in June. The S&P 500 currently sits at 6,243.76 points, up 6% this year.

Amid the unpredictable market conditions, strategists have had to adapt their forecasting models. BlackRock Inc. shortened its investment horizon to three months, while Citigroup Inc. added a measure for geopolitical risks after the April market volatility. The uncertainty around Trump’s trade policies continues to impact forecasts.

Former Wall Street strategists like Robert Buckland believe sticking to predictions despite market volatility is crucial. However, some, like Wells Fargo Securities LLC’s Christopher Harvey, have successfully held onto optimistic targets. The ever-changing market conditions require constant adjustment of forecasts to navigate the current economic landscape.

Read more at Yahoo Finance: Stock Pros See Forecasts as ‘Necessary Evil’ in Era of Policy Chaos