Last Updated: 4:05 PM EST
Stock indices finished today’s trading session in the green. The Nasdaq 100 (NDX), the S&P 500 (SPX), and the Dow Jones Industrial Average (DJIA) gained 0.53%, 0.16%, and 0.01%, respectively. However, Americans are growing more concerned about the U.S. economy as uncertainty around President Trump’s policies and rising prices continue to impact how people feel about their finances. Indeed, the Conference Board’s consumer confidence index fell to 92.9 in March from 100.1 in February – the lowest level in over four years.
Furthermore, the expectations index, which reflects how consumers feel about income, business, and job prospects, dropped to 65.2 — its lowest reading in 12 years — and stayed below the recession-warning level of 80 for a second straight month.
One major reason for the decline was a sharp drop in how people viewed their future financial situation. Inflation expectations also climbed, and for the first time since 2023, consumers turned negative on the stock market, with fewer expecting gains over the next year. More people now expect their income to fall in the next 12 months, the highest share since November 2022.
Jefferies economist Tom Simons said that the data shows people aren’t confident enough in their job security to demand higher pay, though the numbers haven’t reached levels that would trigger a major pullback in spending.
Despite the gloomy mood, some economists and Federal Reserve Chair Jerome Powell say that consumer sentiment surveys don’t always match up with real economic behavior. Powell pointed out that people often report feeling negative but still spend on big purchases like cars.
While growth expectations for the U.S. economy have cooled down, Morgan Stanley’s chief global economist said that talk of a recession is likely exaggerated and pointed to a rebound in retail sales after a weak January as evidence of ongoing consumer strength.
First Published: 4:49 AM EST
U.S. stock futures were slightly lower Tuesday morning, following a significant market rally due to hopes that President Trump might change his proposed tariffs. Futures on the Nasdaq 100 (NDX), the Dow Jones Industrial Average (DJIA), and the S&P 500 (SPX) were down 0.35%, 0.14%, and 0.18%, respectively, at 4:50 a.m. EST, March 25.
In Monday’s trading session, the Dow Jones, the S&P 500, and the Nasdaq Composite (NDAQ) gained 1.4%, 1.8%, and 2.3%, respectively. The market rally was driven by reports that the U.S. government might reduce its original tariff plans, easing worries about its economic impacts.
Later, Trump said he might give some countries breaks on tariffs but added that taxes on areas like pharmaceuticals and autos would come soon. This added a layer of uncertainty to the market’s outlook.
Importantly, Tesla (TSLA) led the tech rally with a 12% jump, and companies like Nvidia (NVDA), Amazon (AMZN), and Meta Platforms (META) also saw gains. Also, Robinhood (HOOD) and Coinbase (COIN) rose 9% and 7%, respectively, as Bitcoin (BTC) prices climbed. However, FedEx (FDX) stock dropped 11.9% after missing earnings estimates and lowering its 2025 outlook.
Tuesday’s economic calendar includes the release of key reports such as March Consumer Confidence, February New Home Sales, and the Richmond Federal Reserve’s Manufacturing Index. Also, speeches from Fed Governor Adriana Kugler and New York Fed President John Williams will be monitored for insights into the central bank’s policy outlook.
On the earnings front, only a handful of companies are scheduled to release their quarterly numbers such as GameStop (GME), McCormick & Company (MKC), and Core & Main (CNM).
At the time of writing, the U.S. 10-year treasury yield was up, floating near 4.348%. Simultaneously, WTI crude oil futures are trending higher, hovering near $69.29 per barrel as of the last check.
Elsewhere, European indices opened higher today despite ongoing uncertainty about Trump’s trade tariffs details.
Asia-Pacific Markets Traded Mixed on Tuesday
Asia-Pacific indices were mixed today as investors remained cautious, waiting for details on Trump’s reciprocal tariffs ahead of the April 2 deadline.
At the same time, Hong Kong’s Hang Seng Index was down 2.35%. Further, China’s Shanghai Composite and Shenzhen Component indices declined 0.002% and 0.43%, respectively. However, Japan’s Nikkei and Topix indices gained 0.46% and 0.24%, respectively.
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