3 things that must happen to get bullish about stocks again: JPMorgan

The hurdle to buying stocks amid the existent Trump tariff policy-driven marketplace rout is precise high.

That's the informing from JPMorgan's caput of planetary equity strategy Mislav Matejka.

"In bid to beryllium sustainably buying equities, beyond conscionable method bounces, we would request to spot commercialized quality travel to settee — for retaliations to beryllium retired of the way, besides a reversal successful fiscal consolidation drive, wherever definite departures from existent medication would request to happen, and would request to spot Fed capitulation, but that is apt lone aft the payrolls falter," Matejka wrote successful a enactment connected Monday.

US markets are "not a bully spot to hide," Matejka warned. Tech stocks and the US dollar should not beryllium viewed arsenic comparative safe-haven plays close now.

"We judge that 1 should enactment cautious connected risk," Matejka added.

Markets person shed an astounding $5.4 trillion successful worth successful the 2 days since President Trump revealed big-time tariffs connected large countries past Wednesday. The S&P 500 (^GSPC) is present astatine its lowest level successful 11 months, with pros saying the carnage whitethorn not yet beryllium over.

Read more: How to support your wealth during economical turmoil, banal marketplace volatility

Heavy selling continued successful markets astir the satellite connected Monday.

Tokyo's Nikkei 225 (^N225) scale tanked 7.8%. Hong Kong's banal marketplace nosedived astir 12% successful its worst time successful much than 16 years. China's Shanghai Composite Index mislaid 8.4%.

Futures connected the Dow Jones Industrial Average (YM=F) dropped much than 1,100 points.

Buzzy numbers successful the markets are starting to aboveground during the carnage.

For instance, the S&P 500 is down 17% from its February highs — a stone's propulsion distant from entering a carnivore marketplace by being disconnected 20%.

Including dividends, the S&P 500 is present down 13.4% truthful acold successful 2025, according to information crunched by Creative Planning main markets strategist Charlie Bilello. Since 1990, lone 2 years person had a worse start: 2001 and 2020.

Every banal successful the intimately followed "Magnificent 7" is down by much than double-digit percentages this year, led by a 40% plunge successful Tesla (TSLA). Nvidia (NVDA) is simply a adjacent 2nd with a 30% drop.

"I’m already overweight utilities, which is expensive," RBC Capital Markets strategist Lori Calvasina told Yahoo Finance. "So we privation to hunt for bargains. But for a batch of these sectors, it’s hard to accidental what tenable EPS assumptions are. All I cognize is that determination are immoderate sizable downward revisions coming."

Brian Sozzi is Yahoo Finance's Executive Editor. Follow Sozzi connected X @BrianSozzi, Instagram, and LinkedIn. Tips connected stories? Email [email protected].