Deutsche Bank Downgrades S&P 500 Forecast Amid Trade Anxiety

Deutsche Bank, known for its optimistic market projections, has revised its year-end target for the S&P 500 index, slashing it by 12% amid rising economic uncertainties linked to the ongoing U.S. trade war.

The global brokerage adjusted its target to 6,150 from 7,000, aligning with other financial institutions yet remaining one of the few still projecting the index above 6,000. This revision comes as similar adjustments are made by Deutsche Bank’s U.S. counterparts, with Goldman Sachs and Citigroup both forecasting figures below 6,000 by year-end.

Deutsche Bank analysts highlighted the persistent ambiguity of President Donald Trump’s trade policies, including a 90-day tariff delay and exemptions for select Chinese goods, which have rattled financial markets and heightened fears of a worldwide recession.

(With inputs from agencies.)