It was a brutal start in the march, as the markets reflect the euphoria that Trump drives after the president’s recent escalation of the president and fears of the slow economic growth in the face of stubborn inflation.
Both S&P 500 (^Gspc) and the heavy NASDAQ (^IXIC) may erase both the post -election gains, with the latter entering a correction territory on Thursday after decreasing by 10 % of the height of the record of 20,173.89 on December 16.
On Friday, the February job report, which was released on Friday, presented some rest with the American economy, adding 151,000 jobs, but it was still a brutal week of shares. S & P 500 is the worst week since September.
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“It is an insecure time.” “But my God, we had a major financial crisis, we had Covid-19, we had a supply chain disorders [coming out of that]And we did well. “
In other words, the stock market remained flexible in the face of major turmoil. Despite the recent procedures of the sale, most strategists believe it will remain this way: Stallzfus expects that S&P 500 will end the year in 7,100, indicating about 25 % based on current trading levels.
“Chaos creates opportunities,” added Dan Evs, head of international technology research at Wedbush. “[Buying the dip] We have for decades. Macro scares you and then looks back and says: “Why don’t I have the winners? Why don’t I have dipped?”
But the decrease may rise quickly.
S& P (^Gspc) swollen 2 % during the past seven sessions in a row after it has achieved a record on February 19. According to the data collected by Yahoo Funding, this was the longest extension of the moves during the day of the standard index since August 2024 – Economists have the last time warned of mitigating growth.
Before August, fluctuations for this level appeared in March 2023, close to the collapse of Silicon Valley Bank.
President Donald Trump addresses a joint session of Congress in Capitol, Washington, on Tuesday, March 4, 2025. ·Associated Press
Looking at these moves, some Wall Street monitors now said it’s time to take advantage of low assessments, with no flexibility to a large extent.
“[Tariffs] He added, “Evez Widbush said.” But in my opinion it does not change the application cycle. In other words, this will not end the technological bull market. It is intimidation. But I think it is more chances of going to hills. “
Read more: What does Trump’s tariff mean for the economy and your wallet?
Julian Emmanuel from Evercore ISI, who has a price goal at the end of the year 500 out of 6,800, was added in a memorandum to clients on Tuesday that “stocks suffer from bear markets when satisfied with contentment.”
“The geopolitical headlines and the speedy sale of the past week in response to concerns about the definitions, Ukraine/Russia and Daiji are the opposite of contentment and in a dispute with the profits that the project gets 8.2 % of growth on an annual basis, as the federal reserve is likely to reduce twice to maintain” soft landing “,” adding, adding “buys” environment in the market. “
Despite the high growth concerns, Yardini, from Yardini research, believes that the economy “will turn into flexibility significantly”, noting the expectations of increasing spending on consumer and capital, as well as getting rid of possible tariff fears.
Currently, though, “there are many deals that should be here with this very sharp sale in a very short period of time.” With Trump’s record of monitoring his popularity with the gains of the stock market, Yardini said it was a matter of time only before the administration entered, regardless of what the president might say.
In recent weeks, investigative studies and feelings of feelings – which are often referred to as “soft” economic data – have been the fundamental cause of the investor’s panic, which represents the return of “bad news to the economy is bad news for stocks.”
The paid ISM manufacturing prices came at the highest level since June 2022, while new requests decreased in shrinking, indicating the “stagnation” environment in which growth slows but the increase in prices in a rise. This data has reached the highest results of the dark survey for February, with consumer confidence decreased and the results of feelings weighing the markets.
Read more: From 5 dollars to insurance premiums, to you where prices rise
Below is anxiety: The high inflation will pressure the strength of consumer purchase and affect the demand at a time when the consumer already feels the highest prices. Requesting less sales goods for companies means, which presses profit margins and finally forcing companies to reduce jobs and status status.
If this happens, the Federal Reserve has already indicated that it will intervene to stop the bleeding, and therefore the latest market calibration of future price discounts. After the job report on Friday, market markets continued in three price cuts this year.
Alexandra channel He is a major correspondent in Yahoo financing. Follow it on x and LinkedIn, And send it by email to Alexandra.ANAL@yahoofinance.com.
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