Overview
- Wells Fargo cut its S&P 500 year-end goal to 7,300 from 7,800, citing the Iran conflict as a new risk that was not in its 2026 plan.
- The bank’s conflict model shows investors now price direct war danger above oil price shocks for the first time in its tracking.
- Nasdaq 100 valuations have reset, with the index’s forward P/E down 29% from its peak and about one-third of S&P 500 stocks below five-year norms.
- An inventory model flags inflation risk in the second half of 2026, which Ohsung Kwon called a lose-lose setup around fresh data and Federal Reserve decisions.
- Wells Fargo kept earnings targets at $315 for 2026 and $365 for 2027, and equity funds kept taking in cash as the S&P 500 sat near 6,343 on March 31, down about 7.7% this year.