The Dow and S&P 500 rise slightly, but tariff and recession fears linger

2 months ago 24

Catherine Baab

Mon, Apr 14, 2025, 9:40 AM 3 min read

The Dow Jones Industrial Average roseate 91 points, oregon 0.2%, portion the S&P 500 added 12 points, besides climbing 0.2% arsenic of 12:20 p.m. Eastern. The tech-heavy Nasdaq Composite remained breakeven. Gold, meanwhile, slipped 0.8%, suggesting a flimsy pullback from past week’s huffy dash into safe-haven assets. Apple (AAPL) banal climbed, helping pb marketplace indexes higher.

A astonishment tariffs announcement precocious Friday triggered the tech-led bounce connected Monday. The electronics exemption, issued by U.S. Customs and Border Protection, seemed to shield smartphones, laptops, and different user electronics from Trump medication tariffs connected Chinese goods – offering alleviation for companies that trust heavy connected Chinese manufacturing, specified arsenic Apple, Nvidia (NVDA), and Microsoft (MSFT)

But the reprieve whitethorn beryllium short-lived. Commerce Secretary Howard Lutnick said Sunday that the products are inactive included nether a forthcoming circular of semiconductor-related tariffs, “coming successful astir apt a period oregon two.”

And President Donald Trump aboriginal rejected the thought that determination had been immoderate exemption astatine all, saying the goods are inactive taxable to existing 20% fentanyl-linked tariffs and had simply shifted tariff categories. He said nary merchandise was really exempt, calling the alteration a elemental reclassification.

“NOBODY is getting ‘off the hook,’” Trump said Sunday connected his societal media tract Truth Social.

Democratic Sen. Elizabeth Warren of Massachusetts criticized the shifting policies arsenic “chaos and corruption,” informing that specified unpredictability is eroding capitalist confidence.

Perhaps unsurprisingly, the Fear & Greed Index is inactive planted successful “extreme fear” territory, reflecting a deficiency of bullish sentiment amidst chaotic argumentation announcements — to accidental thing of chaotic argumentation determination. The S&P 500's caller 5% intraday swings suggest volatility that is much structural than seasonal.

Analysts astatine some Morgan Stanley (MS) and Citigroup (C) person chopped their year-end forecasts for U.S. stocks, pointing to rising risks from specified unpredictable argumentation moves and ongoing geopolitical tensions.

Heading into a packed week of firm net successful which large banks, healthcare companies, and consumer-facing platforms specified arsenic Netflix (NFLX) volition study results, each merchandise could either dependable oregon rattle capitalist nerves.

Apple banal jumped 2.3% connected Monday morning, lifted by hopes the institution volition beryllium temporarily exempt from caller electronics tariffs.