Goldman Sachs Downgrades Its Forecast for the Stoxx 600 Index

Goldman Sachs raised its year-end 2025 forecast for the S&P 500 while making a downward revision for European stocks. However, it upgraded its recommendation for the European financial services sector from "neutral" to "overweight." Goldman Sachs reduced its 12-month forecast for the FTSE 100 from 8800 to 8500, and lowered its prediction for the European Stoxx 600 from 540 to 530 points due to weak economic performance and modest earnings per share growth.