Barclays Cuts S&P 500 Target to 5,900 as Tariff Concerns Mount

The bank cites the economic impact of Trump administration tariffs and slowing growth, marking the lowest target among major financial institutions.

Barclays has reduced its S&P 500 year-end target to 5,900, the lowest projection among major banks, signaling diminished expectations for market performance.
The revision reflects concerns over the economic impact of reciprocal tariffs set to take effect on April 2 and broader trade policy uncertainty.
Barclays estimates tariffs could reduce S&P 500 earnings per share by up to 2.3%, with retaliatory measures further compounding the impact.
While Barclays' base case predicts slowing U.S. economic activity without a recession, its bear case envisions a GDP contraction and S&P 500 drop to 4,400.
Other banks, including Goldman Sachs and RBC, have also revised their S&P 500 targets downward, though their projections remain less bearish than Barclays'.