From Nasdaq: 2025-04-03 14:09:00

Stock indexes are plummeting today, with the S&P 500, Nasdaq 100, and Dow Jones hitting 6-1/2 month lows due to concerns over Trump’s trade policies. The US Mar ISM services index fell to a 9-month low, sparking a flight to safety into government bonds. European bond yields are at 4-week lows.

President Trump announced new tariffs on nearly all countries, with higher rates on 60 nations starting April 5. Treasury Secretary Mnuchin stated there will be no negotiations. Weekly initial jobless claims fell unexpectedly, but continuing claims rose. The US Feb trade deficit improved, while the Mar ISM services index fell to a 9-month low.

Stocks have been pressured by Trump’s tariffs on Canadian, Mexican, and Chinese goods, with auto tariffs now in effect. Market focus includes the impact of tariffs, upcoming nonfarm payrolls, and Fed Chair Powell’s economic outlook speech. Overseas markets are down, with the Euro Stoxx 50 and Nikkei hitting lows.

The markets are pricing in a 32% chance of a rate cut after the May FOMC meeting. European bond yields are falling, with the Eurozone PMI at a 7-month high and PPI rising. ECB policymakers are weighing a rate cut or pause in April. US stock movers include tech, chip makers, consumer, travel, and energy companies seeing significant declines.

Notable losses in tech companies like Apple, Amazon, and Nvidia due to tariff risks. Chip makers like Microchip and Micron are sharply down. Consumer, retail, and travel stocks are tumbling on tariff concerns. Energy stocks are slumping with WTI crude prices down. Defensive food and beverage companies are moving higher amidst market turmoil.

Earnings reports for Acuity Inc, Conagra Brands, Lamb Weston Holdings, and MSC Industrial Direct are due on 4/3/2025. The author does not hold positions in the securities mentioned. Information provided is for informational purposes only. European markets are reacting to US tariffs with retaliatory threats. Interest rates are surging as investors seek safety in government bonds.



Read more at Nasdaq: Stock Sharply Lower on Concern US Trade War Will Upend the Global Economy