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Stocks are at a risk of a drop of nearly 20%, says Goldman Sachs. Here’s the trigger. - MarketWatch

1. S&P 500 futures rose 18% since April 7's low. 2. Goldman Sachs warns of potential higher tariffs post-Trump's re-election. 3. Experts see a 45% chance of U.S. recession within 12 months. 4. Market may decline if labor market worsens and earnings fall. 5. Pressure on stocks increases from foreign investor pullback.

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FAQ

Why Bearish?

Goldman Sachs' caution signals market uncertainty, similar to past recession warnings.

How important is it?

The article discusses significant recession risks and their imminent effects on stocks.

Why Short Term?

Immediate concerns about labor market and recession risks may quickly impact S&P 500.

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