Citi downgraded the U.S. stock market rating to neutral

Golden Finance reports that Citigroup stock strategists have downgraded their rating on the U.S. stock market, stating that recent developments such as DeepSeek, Europe's fiscal stance, and trade tensions have reinforced their view on diversifying investments outside of the U.S. "From a GDP and EPS perspective, the drivers of 'exceptionalism' are fading," said Beata Manthey and other strategists at the bank as they lowered the U.S. stock market rating from overweight to neutral. Citigroup noted that the U.S. market remains relatively expensive, while trends in EPS expectations are worsening.