From Yahoo Finance: 2025-04-06 19:00:00

The US stock market faced turbulence in Q1 2025 due to volatility and negative returns, driven by concerns about tariffs, economic data, and tech stock performance. DeepSeek, a Chinese AI software, caused global sell-offs and prompted US policies to support domestic tech firms. Interest rate uncertainty and global tariffs also impacted markets.

President Trump announced new tariffs on Europe and China, leading to retaliatory measures and market concerns. The US imposed a 54% tariff on Chinese goods, countered by China with a 34% tariff on US goods. These actions caused the biggest market drop since COVID-19, raising supply chain worries globally.

The US economy is facing stagflation, with high inflation, low growth, and high unemployment. The Cboe Volatility Index is up, indicating market uncertainty. Systemically important sectors like energy, real estate, healthcare, finance, and tech offer investment opportunities. Hedge funds’ top stock picks have outperformed the market, showing promise for investors.

Bank of America Corporation (BAC) is a top beginner stock with a strong financial performance in Q4 2024, beating revenue and EPS estimates. Despite inflationary and COVID-19 challenges, BAC remains resilient. Analysts predict a 50.43% upside potential for BAC, making it a favorable investment choice. However, AI stocks are seen as more promising for higher returns in the short term.



Read more at Yahoo Finance: Is Bank of America Corporation (BAC) the Best Beginner Stock?