S&P 500 May Enter Bear Market in '16 Amid Swings, UBS Says

  • U.S. stocks will reach new peak before falling as much as 30%
  • Bull market will resume and continue until end of decade
Lock
This article is for subscribers only.

The going will get tougher for U.S. stocks this year, UBS Group AG’s equity-sales team says.

After a weak start to 2016, the Standard & Poor’s 500 Index will reach a top in the second quarter, before falling as much as 30 percent later in the year or early in 2017, according to a UBS sales report sent to clients. The Dow Jones Transportation Average has already entered a bear market, and the Russell 2000 Index of smaller companies has fallen 15 percent from its high last year.