Overview

• Deutsche Bank lifted its S&P 500 year-end target from 6,150 to 6,550, implying a 10.35% gain from the index’s last close of 5,935.94.
• The bank increased its S&P 500 earnings-per-share estimate to $267 from $240, reflecting stronger corporate profitability.
• May marked the S&P 500’s best monthly performance since November 2023, driven by robust earnings, tame inflation alongside a softer U.S. tariff stance.
• Other major firms such as Goldman Sachs, UBS Global Wealth Management as well as RBC Capital Markets have also increased their S&P 500 forecasts in recent weeks.
• Deutsche Bank cautioned that cycles of tariff escalation and de-escalation could produce sharp market pullbacks despite the ongoing rally.