UBS flagged potential earnings downgrades in the wake of rising oil prices and slowing growth and slashed its year-end S&P/ASX 200 target to 8,800 from 9,400, the Australian Financial Review (AFR) reported on Tuesday.
Per a "stagflation light" scenario, the benchmark index is expected to be up by 4% by the end of 2026, and end roughly flat for the year, said Richard Schellbach, a UBS equity strategist. The investment firm noted that the healthcare sector is overweight, offering defensiveness.
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