Wall Street anticipates a correction in the stock market, with analysts projecting declines for the S&P 500. Morgan Stanley strategist Mike Wilson forecasted a potential decline of up to 10%, while Evercore estimated a loss of up to 15%. After a robust summer of gains, particularly from large tech stocks, economic indicators now suggest a more negative outlook. Inflation is rising, and job growth and consumer spending are slowing, complicating the economic landscape. Additionally, uncertainties surrounding tariff negotiations, especially with Mexico and China, contribute to market volatility. Historically, August has proven to be a challenging month for equities, with the S&P 500 averaging a return of -0.6%. This confluence of factors suggests that a market decline may be imminent, although unpredictable events can alter the trajectory at any time.

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