(Reuters) – Barclays raised its year-end value goal for the S&P 500 (^GSPC) index to six,050 from 5,900 on Wednesday, citing easing commerce uncertainty and expectations of normalized earnings progress in 2026.
This follows forecast will increase by Goldman Sachs and UBS International Wealth Administration in Might, and an identical transfer by RBC Capital Markets and Deutsche Financial institution this week.
The brand new goal is an upside of about 1.32% to the index’s final shut of 5,970.37 factors.
In Might, the S&P 500 logged its finest month-to-month efficiency since November 2023, rising 6.2%, after U.S. President Donald Trump moderated his stance on tariffs, strong company earnings, and knowledge exhibiting inflation cooling which helped markets bounce again from April’s downturn.
The British brokerage additionally launched its 2026 earnings per share forecast at $285 and 2026 year-end goal of 6,700 for the benchmark index.
“After tariff headwinds are absorbed all through the remaining quarters of FY25, we count on that 2026 will return to a extra normalized tempo of earnings progress,” Barclays strategists led by Venu Krishna mentioned in a be aware.
Tariffs subsequent yr are anticipated to haven’t any extra direct influence in comparison with this yr, although secondary results on progress and inflation might lengthen into 2026, the brokerage added.
Barclays maintained its 2025 earnings per share forecast at $262, regardless of ongoing tariff pressures.
(Reporting by Rashika Singh and Joel Jose in Bengaluru; Enhancing by Eileen Soreng)
