
Wall Street is trading on shaky grounds as everyone awaits Donald Trump’s much-anticipated reciprocal tariff announcement. The US stock market is oscillating between apprehensions and optimism as on Tuesday morning, the market fluctuated substantially. The Dow Jones Industrial Average (^DJI) fell by less than 0.
1%, indicating wariness among investors. In the meantime, the S&P 500 (^GSPC) recovered some losses, increasing by 0.4%, while the Nasdaq Composite (^IXIC) topped the list with a 0.
9% increase. Multiple market concerns are haunting Wall Street. While fear of inflationary pressure and economic slowdown persist, coupled with an increase in manufacturing costs and consumer prices, apprehensions surrounding stagflation are also on the rise, the ET reported.
Stagflation is a term used for stagnant growth and high inflation. However, one sector that saw monumental gains was the gold market as the price of precious yellow metal reached record highs amid investor uncertainty, owing to its reputation as a safe haven asset. Stock Market Performance of 2025 Quarter 1 The sentiment of uncertainty and economic pressures have been at play since the beginning of this year.
The Q1 of 2025 witnessed a stock market bloodbath. The S&P 500 plummeted 4.6%, recording its weakest quarterly results since 2022.
The Nasdaq Composite performed even poorer, dropping 10.5% as technology stocks took the hardest hit from investor sell-offs. The Dow Jones decreased by 1.
3% during that same timeframe. The precise performance of the Russell 2000 is not yet disclosed, but the general sentiment is evident—investors are on the edge, and volatility levels are high, the ET reported. Analysts are anticipating a record-high tariff rate since the 1940s.
Considering the tense environment, higher taxes can result in a more strained economy struggling with negligible growth and inflation. Job vacancies in February reached a four-year low, suggesting the labour market is losing momentum. In the meantime, manufacturing activity also dipped last month, with firms experiencing the pressure of increasing costs—an issue worsened by the approaching tariff policies.
As the tariff implementation is approaching, the market’s trajectory is still unclear. Although European markets appear to be hopeful, U.S.
indices are still apprehensive. Get Latest News Live on Times Now along with Breaking News and Top Headlines from Budget 2025, Companies,Markets, Business Economy and around the world..