If the S&P 500 closes below the mid-June low in the days ahead, that may prompt another wave of aggressive selling, Stovall said. This could send the index as low as 3,200, a level in line with the average historical decline in bear markets that coincide with recessions.
Trump’s new tariff threats show trade uncertainty here to stay
Hopes for easing trade tensions under Donald Trump were dashed as he threatened new tariffs on the EU and smartphones, causing market instability. Despite some