Panmure Liberum strategists, Joachim Klement and Susana Cruz, believe that the S&P 500 could fall sharply in the coming months, possibly dropping to 4,915 points. This would mark a 13% decline from its recent level and could push the U.S. into a bear market, following the impact of President Trump’s new tariff measures.
While they also expect UK and EU markets to correct, they don’t see them falling into bear market territory. In fact, they predict that these regions may perform better than the U.S., with UK stocks potentially becoming relative winners—mainly because British companies would face fewer tariffs compared to their European counterparts.