Deutsche Bank predicts 6% further decline in S&P 500

Deutsche Bank reports that the current market sell-off is expected to continue, predicting a further decline of about 6.9% for the S&P 500. This would bring the index down to approximately 5,250, as consumer and corporate confidence falters due to tariff uncertainties. The bank's chief strategist, Binky Chadha, noted that trade policy uncertainty is likely to persist until at least April 2. He highlighted that recent earnings reports show companies are reducing spending and lowering profit forecasts. Despite the negative outlook, Chadha maintains a year-end target of 7,000 for the S&P 500, suggesting a potential recovery later in the year if tariff issues are resolved. The index has recently shown slight gains following a report indicating continued consumer spending.