HSBC's multi-asset strategists have downgraded U.S. stocks to underweight, marking the second downgrade in a month, reflecting a bearish outlook on U.S. risk assets. Max Kettner, a strategist at HSBC, cited concerns over the sentiment shock and potential weakness in U.S. hard data, exacerbated by high uncertainty and ongoing tariff issues, which he expects to extend beyond April 2. The broader market sentiment is influenced by geopolitical and commercial uncertainty, with experts noting that tariff policies and economic data are creating a volatile environment. This uncertainty is also affecting dealmaking in sectors like pharmaceuticals and biotechnology, where large deals are stalling due to the unpredictable economic policies from the White House. Bank of America, however, advises not to count out U.S. stocks just yet. Investment banks on Wall Street are preparing for potential job cuts if the economic uncertainty continues to impact dealmaking. Analysts and recruiters suggest that banks like JPMorgan and Bank of America have already started annual culls, and other major banks may follow if the situation does not improve in the coming months.