Stock Market Outlook for 2025: Economy Predictions, Tariffs, and Investing Strategy from UBS

The article discusses UBS’s predictions for the stock market and economy in 2025. Key points include: The S&P 500 is expected to reach 4,850 by the end of 2025, a 15% increase from current levels. UBS anticipates the US economy will grow by 1.8% in 2025, driven by consumer spending and business investment. However, trade tensions and tariffs could pose risks to economic growth. UBS recommends investors focus on high-quality companies with strong balance sheets and pricing power to navigate potential volatility. The firm also suggests considering defensive sectors like healthcare and consumer staples. Overall, UBS maintains a positive outlook for stocks in 2025 but cautions that risks remain, including geopolitical tensions and potential policy changes.

Source: https://www.businessinsider.com/stock-market-outlook-2025-economy-predictions-tariffs-investing-strategy-ubs-2024-11