U.S. Stock Market Summary for Monday, March 17, 2025
Major Indices
- S&P 500: +0.64% → 5,675.12
- Dow Jones: +0.85% → 41,841.63
- Nasdaq 100: +0.55% → 19,812.24
- Russell 2000: +1.19% → 2,068.33
Market Overview
U.S. stocks posted modest gains on Monday, continuing a rebound from the recent correction. Despite mixed economic signals, investors showed cautious optimism heading into the upcoming Federal Reserve meeting.
February retail sales rose by 0.2%, falling short of expectations (0.6%), while core sales (excluding autos) increased by 0.3%, matching forecasts. Meanwhile, the New York Fed’s manufacturing index plunged from 5.7 to -20, marking the sharpest drop in two years. The NAHB housing market index also fell to a 7-month low amid higher construction costs linked to tariffs.
The Atlanta Fed’s GDPNow forecast was revised downward from -1.6% to -2.1%, signaling continued economic softness.
Sector Highlights
Technology
- Intel: +6.8% after reports that incoming CEO Lip-Bu Tan plans to overhaul manufacturing and AI strategy
- Nvidia: -1.0% ahead of GTC conference as investors remain cautious
Consumer Discretionary
- Tesla: -4.8% after Mizuho Securities cut its price target, citing demand and brand risks
Energy
- Energy stocks rose as oil prices approached two-week highs amid Middle East tensions and encouraging data from China
Economic Snapshot
- 10-Year Treasury Yield: Flat at 4.30%
- February Retail Sales: +0.2% (vs. 0.6% expected)
- NY Fed Manufacturing Index: -20 (vs. 5.7 prior)
- Atlanta Fed GDPNow Forecast: ↓ to -2.1%
Expert Commentary
-
Brian Jacobsen (Annex Wealth Management)
“Some of January’s weather-depressed spending recovered in February. There's also evidence of pre-tariff stockpiling in e-commerce.” -
David Lefkowitz (UBS)
“Corrections in a bull market tend to be solid buying opportunities. Most of the policy-related overhang may now be priced in.” -
Sam Stovall (CFRA)
“We're seeing a short-term counter-trend rally in motion.”
Government & Political Notes
Treasury Secretary Scott Bessent:
In an NBC interview, Bessent called the recent market correction “healthy and normal,” stating, “Markets rising in a straight line can create bubbles and crises.” He added that avoiding a recession isn't guaranteed.
Trump Administration:
- Willing to accept short-term economic pain to push forward restructuring of U.S. institutions
President Trump’s remarks:
- Will speak with Putin Tuesday morning
- Announced upcoming visit from President Xi Jinping
- Will release JFK assassination documents tomorrow
- Will nominate Fed Governor Michelle Bowman as Fed Vice Chair
Conclusion
Monday’s gains reflected tentative optimism amid economic uncertainty. While tech and energy sectors showed pockets of strength, broader market caution remains. Investors are focused on the Fed’s policy meeting, geopolitical updates, and tariff developments, which are likely to steer sentiment in the days ahead.
