Citigroup Analyst: Trump's tariff measures will lead to a few percentage points decline in the S&P 500
On November 27, according to Bloomberg terminal data, Citigroup analysts released a report stating that the tariffs proposed by Trump could reduce the returns of the S&P 500 index by several percentage points.
They emphasized that the market has not fully digested this risk, especially new tariffs against China, Canada and Mexico. Industries with higher trade risks are expected to be affected, including Canadian energy exports. Tariffs may lower the earnings of the S&P 500 index in 2025 and significantly impact gross profit margins. However, past tariff reductions suggest leniency is possible and markets are now shifting focus from elections to policy uncertainty.
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