Finance
Goldman Sachs lowers S&P 500 year-end target to 6,200
Published by Global Banking & Finance Review®
Posted on March 12, 2025
1 min readLast updated: January 24, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on March 12, 2025
1 min readLast updated: January 24, 2026
Goldman Sachs cuts S&P 500 target to 6,200 due to policy uncertainty and economic concerns, following a major market drop.
(Reuters) -Goldman Sachs has trimmed its 2025-end target for the S&P 500 Index to 6,200 from 6,500, citing increased policy uncertainty, particularly on tariffs, and worries about the economic growth outlook.
The target is 10.6% higher than the index's last close of 5,572.07.
On Monday, the S&P 500 saw its steepest one-day drop since December 18, wiping out a staggering $4 trillion from its recent peak.
The index was briefly on track to confirm a correction on Tuesday after U.S. President Donald Trump announced fresh tariffs on Canada. Trump backpedaled on the tariffs later.
"The proximate causes of the market decline are the jump in policy uncertainty largely related to tariffs, concerns about the economic growth outlook, and a positioning unwind, especially among hedge funds," analysts at Goldman Sachs said in a March 11 note.The sharp drop in the index has been largely driven by a 14% plunge in the share prices of the so-called "Magnificent 7" stocks, which saw their price-to-earnings ratio fall to 26x from 30x, they said.
(Reporting by Joel Jose in Bengaluru; Editing by Janane Venkatraman and Mrigank Dhaniwala)
The main topic is Goldman Sachs lowering its S&P 500 target due to economic and policy concerns.
Goldman Sachs cited increased policy uncertainty and concerns about economic growth as reasons for lowering the target.
The S&P 500 experienced its steepest one-day drop since December, influenced by policy changes and economic concerns.
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