Rising Risk of S&P 500 Correction
RBC Capital Markets has flagged a 5-10% drawdown in the S&P 500 as new U.S. tariffs on China, Mexico, and Canada take effect.
Key Concerns
? Overbought Market: Equities were already stretched in terms of positioning.? Complacency Risk: Many investors viewed tariffs as mere negotiating tactics.? Corporate Challenges: Tariffs could hit EPS, margins, demand, and business confidence.? Inflation Pressures: Rising costs may dampen post-election optimism for 2025.
How to Track Market Trends?
? Bulk Ratings API – Analyze stock downgrades and risk sentiment shifts.? Sector P/E Ratio API – Gauge valuation shifts across industries.
With tariffs reshaping economic outlooks, investor caution is rising—making market reactions more unpredictable.