S&P 500 Retreats to 7,408 on Tech-Led Pullback After Record Highs

The S&P 500 has pulled back to near 7,408 after setting repeated records at 7,501-7,513 in mid-May. Early bullish calls from Citi and HSBC gave way to caution by May 15-17 as BofA flagged peaking frenzy, Goldman highlighted extreme momentum risks, and inflation concerns rose. Strong 27.7% earnings growth and rising AI forecasts underpin targets from 7,800 to 8,250. On May 18, Evercore assigned a 30% probability to a year-end rally to 9,000 driven by productivity gains while maintaining a 7,750 base case. Deutsche Bank now warns of a tech-led pullback amid stretched valuations and concentration risks.