HSBC lowered its price target for the S&P 500 to 4,850 by the end of 2026, a 7% reduction from its previous 5,200 estimate, as higher U.S. Treasury yields raised discount rates and projected corporate earnings growth decelerated. The bank also rebalanced its sector stance, trimming technology exposure in its model portfolio while increasing allocations to energy and financials to capitalize on stronger free cash flow and valuation support.