Potential Correction Looms for S&P 500

RBC Capital Markets has indicated a probable 5-10% decline in the S&P 500 as newly introduced tariffs on China, Canada, and Mexico take effect.

Critical Concerns Outlined

🔺 Market Overextension: Equities were already overextended in terms of positioning.
🔺 Complacency Risks: Many investors misinterpret tariffs as mere negotiation tactics.
🔺 Corporate Challenges: Tariffs could adversely affect EPS, margins, demand, and business confidence.
🔺 Inflation Pressures: Rising costs may dampen post-election optimism for 2025.

Tracking Market Movements

📊 Bulk Ratings API – Analyze shifts in stock downgrades and sentiment.
📊 Sector P/E Ratio API – Monitor valuation changes across the industry spectrum.

With tariffs reshaping the economic outlook, investor caution is building, leading to increasingly unpredictable market reactions.