Wall Street's Most Bullish Firm Heading Into 2025 Just Slashed Its S&P 500 Forecast. Here's What You Should Do, Based on Decades of History.

The S&P 500 (SNPINDEX: ^GSPC) is off to a rough start to 2025. It was recently down by as much as 19% from its all-time high, narrowly avoiding bear-market territory before staging a modest recovery.The index is coming off an incredible two-year run in 2023 and 2024, delivering back-to-back annual gains of more than 25%. The only other time investors enjoyed such strong returns from the benchmark index was during the dot-com internet boom in 1997 and 1998, so the recent pullback is probably healthy -- after all, markets don't rise in a straight line. However, there are some short-term headwinds that could breed more uncertainty. On April 2, President Donald Trump announced a series of tariffs on products coming into the U.S., which accelerated the decline in the S&P 500 as investors trimmed their exposure to stocks out of fear that trade tensions could trigger a global economic slowdown.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool