Top Wall Street strategists are revising their optimistic stock market forecasts amid Donald Trump’s aggressive tariff policy, which threatens to disrupt the global economy.

John Stoltzfus of Oppenheimer & Co., formerly the most bullish strategist on the S&P 500, cut his year-end target from 7,100 to 5,950 points. He cited high uncertainty and a “negative investment backdrop” dominating the market.

Michael Wilson of Morgan Stanley warned that the S&P 500 could fall another 7–8% if the White House sticks to its tariff stance. Analysts at Evercore ISI, Goldman Sachs, and Societe Generale also adjusted their projections downward.

S&P 500 futures dropped as much as 5.4% on Monday, and more than $5 trillion in market value was wiped out in just the past two days. The sell-off intensified after Trump announced a 10% tariff on all US imports and higher duties on exports from 60 countries, including China and the EU. In response, China pledged retaliatory measures.

Europe’s Stoxx 600 index plunged as much as 6.5%, while MSCI Asia saw its worst decline since 2008, down over 8%. The VIX index, known as Wall Street’s “fear gauge,” surged above 60 points, signaling panic across global markets.

Investors are now closely watching the Federal Reserve for signs of rate cuts. However, Fed Chair Jerome Powell said the central bank will wait to assess how the tariffs affect inflation before acting.

Julian Emanuel of Evercore ISI cut his S&P 500 year-end forecast to 5,600 and lowered his earnings-per-share projections for 2025 and 2026. He noted that dismantling the post-WWII economic and political order in just 80 days is chaotic — especially when done with the “sledgehammer” of tariffs greater than those imposed by the Smoot-Hawley Act of the 1930s.