Stock market today: Dow, S&P 500, Nasdaq slide as Fed-fueled rally falters

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Thu, Mar 20, 2025, 6:34 AM 1 min read

The Fed's determination to support involvement rates unchanged connected Wednesday was expected connected Wall Street, but markets rallied, driven by a consciousness of alleviation that anterior forecasts for 2 complaint cuts this twelvemonth held up. Doubts had been rising astir the way to complaint cuts amid concerns the US system mightiness buckle nether President Trump's wide plans for tariffs.

Read more: The latest connected Trump's tariffs

In a property league pursuing the decision, Powell contributed to the bully mood. Although the cardinal slope indicated it expects higher ostentation and slower economical growth, the Fed seat reassured investors that ostentation impacts from tariffs volition apt beryllium "transitory" and recession risks stay low.

But Powell's comments came aft the Fed, successful updated projections, revised upward its forecast for ostentation astatine the extremity of this twelvemonth portion sharply lowering its forecast for economical growth. Those broader economical sentiments person been weighing connected markets for overmuch of the past 2 months, with some the benchmark S&P 500 and tech-heavy Nasdaq sliding into correction territory.

For his part, Trump — who has mostly refrained from weighing successful connected Fed argumentation frankincense acold successful a U-turn from his archetypal word — looked acceptable to amp up unit connected the cardinal bank.

"The Fed would beryllium MUCH amended disconnected CUTTING RATES arsenic U.S.Tariffs commencement to modulation (ease!) their mode into the economy," helium posted connected societal media precocious Wednesday.

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Stocks unfastened little aft Wednesday's rally

US stocks moved little connected Thursday, failing to physique connected a Wednesday rally fueled by reassuring signals from Federal Reserve Chair Jerome Powell aft the cardinal slope held involvement rates dependable connected Wednesday.

The Nasdaq Composite (^IXIC) led the losses, falling astir 1%, portion the Dow Jones Industrial Average (^DJI) dropped 250 points, oregon 0.6%, and the S&P 500 (^GSPC) shed 0.7%
A $4.5 trillion triple witching gives investors yet different test

Four times a year, a acceptable of options contracts simultaneously expire successful an lawsuit known arsenic a "triple witching," which often stokes volatility. The archetypal triple witching of 2025 volition instrumentality spot connected Friday.

Bloomberg reports:

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Weekly jobless claims dependable successful March

Data from the Department of Labor released Thursday greeting showed 223,000 archetypal jobless claims were filed successful the week ending March 15, down from 221,000 the week anterior and astir successful enactment with 224,000 economists had expected.

Meanwhile, 1.89 cardinal continuing unemployment claims were filed, up from 1.86 cardinal the week prior. Continuing claims person hovered adjacent a more-than-three-year precocious for respective months present arsenic economists person noted laid-off workers are taking longer to find caller jobs.
Trump starts to crook up the unit connected the Fed

President Trump — who has mostly refrained from weighing successful connected Fed argumentation truthful acold — seemed to amp up the unit connected the cardinal slope aft it held involvement rates dependable for the 2nd consecutive gathering connected Wednesday.

Yahoo Finance's Ben Werschkul and Jennifer Schonberger report:

Read much here.
Why this Wall Street expert inactive thinks Tesla banal could astir emergence 90%
Europe stocks autumn aft ECB says tariffs would assistance inflation, measurement connected growth

European stocks fell crossed the committee aft European Central Bank President Christine Lagarde stated that a 25% tariff connected goods imported to the US could rise ostentation and little maturation successful the bloc.

"In the adjacent term, EU retaliatory measures and a weaker euro speech rate...could assistance ostentation by astir fractional a percent point," Lagarde told European lawmakers, per Reuters. "The effect would easiness successful the mean word owed to little economical enactment dampening inflationary pressures."

The pan-European Stoxx 600 (^STOXX) fell 0.7%, portion Germany's DAX (^GDAXI) dropped 1.5%. The CAC (^FCHI) successful Paris was 1% lower.

And successful London, the benchmark scale (^FTSE) was astir level arsenic traders awaited the adjacent involvement complaint determination from the Bank of England, which is expected to clasp rates steady.
Good morning. Here's what's happening today.

Economic data: Initial jobless claims (week ending March 15); Philadelphia Business Outlook (March); Leading scale (February) Existing location income (February)

Earnings: Academy Sports and Outdoors (ASO), Darden Restaurants (DRI), FedEx (FDX), Land's End (LE), Lennar (LEN), Micron (MU), Nike (NKE)

Here are immoderate of the biggest stories you whitethorn person missed overnight and aboriginal this morning:

The Fed—and economy—can inactive spend to hold amid tariff uncertainty

Why 1 expert is betting connected a 90% Tesla rally

Some retirees to get a bump successful Social Security benefits adjacent month

Nvidia's winning formula: Fail fast, innovate faster

SoftBank Group to get Ampere Computing successful $6.5 cardinal deal

Lagarde: US tariffs could shrink eurozone growth, spike inflation

Stanford, Harvard grads question China AI startup jobs

TSMC risks losing pb implicit Tencent arsenic Asia's largest company

Copper hits $10,000 successful rally fueled by Trump's tariff threats
Gold rises to caller grounds precocious connected Fed complaint chopped news

Gold (GC=F) reached a caller all-time precocious Thursday arsenic the Federal Reserve raised the imaginable for 2 involvement complaint cuts this year, boosting bullion's entreaty arsenic a haven asset.

Reuters reports:

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Copper breaches $10,000 benchmark successful tariff push

Copper (HG=F) surged past the $10,000-per-ton people aft weeks of planetary commercialized disruptions caused by President Donald Trump's tariffs pushed prices connected the concern metal.

Bloomberg reports:

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SoftBank Group buys retired Oracle and Carlyle Group successful $6.5 cardinal for Ampere Computing

SoftBank Group Corp has announced plans connected Wednesday to get AI-focused spot startup Ampere Computing successful a $6.5 cardinal deal.

Reuters reports:

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