U.S. Stock Market Summary for Wednesday, March 12, 2025


Major Indices

  • S&P 500: +0.49% → 5,599.30
  • Dow Jones: -0.20% → 41,350.93
  • Nasdaq 100: +1.13% → 19,596.02
  • Russell 2000: +0.14% → 2,026.47

Market Overview

Markets ended mixed as February CPI data came in cooler than expected, easing inflation concerns and helping major indices rebound from a two-day slide.
However, gains were capped by rising trade tensions following President Trump’s tariff escalation, which triggered retaliatory responses from Canada and the European Union.

Sector Highlights

Technology

  • Nvidia: +6.2%
  • Tesla: +7.6%
    → Big tech led the recovery on renewed investor optimism.

Financials

  • Major banks like Wells Fargo and Goldman Sachs posted gains amid improving sentiment.

Industrials

  • Ford and GM declined on concerns about rising steel and aluminum costs due to new tariffs.

Inflation Snapshot

  • Core CPI YoY (Feb): +3.1%
    → Lowest annual increase since April 2021
  • 10-Year Treasury Yield: ↑ 3 bps → 4.31%

Expert Commentary

  • Ellen Zentner (Morgan Stanley)
    “Encouraging CPI data, but don’t expect immediate Fed rate cuts.”

  • Jeff Schulze (ClearBridge Investments)
    “A positive signal for risk assets, but inflation expectations must stabilize.”

  • David Russell (TradeStation)
    “Shelter cost easing opens the door for possible June rate cuts.”

Other Key Developments

  • Intel appoints new CEO: Lapu Tan (former Cadence CEO)
  • Microsoft reportedly under FTC antitrust review
  • Google launches AI model for robotics: Gemini Robotics

Conclusion

Wednesday’s market action reflected a tug-of-war between improving inflation

Popular posts from this blog

SCHD 2025 Rebalancing Analysis: Shifts Towards Energy and Defensive Sectors

The Schwab U.S. Dividend Equity ETF (SCHD) has undergone its latest rebalancing, making significant adjustments to its portfolio composition. These changes reflect the fund's strategic response to current market conditions and economic uncertainties. Let's dive into the details of this rebalancing and what it means for investors. Previous SCHD Composition Before the rebalancing, SCHD's top holdings included: ABBVIE INC (ABBV): 4.96% AMGEN INC (AMGN): 4.68% COCA-COLA (KO): 4.59% PFIZER INC (PFE): 4.28% CHEVRON CORP (CVX): 4.27% VERIZON COMMUNICATIONS INC (VZ): 4.26% BRISTOL MYERS SQUIBB (BMY): 4.25% CISCO SYSTEMS INC (CSCO): 4.23% PEPSICO INC (PEP): 3.81% TEXAS INSTRUMENT INC (TXN): 3.81% BLACKROCK INC (BLK): 3.81% In the financial sector, besides BlackRock, SCHD included several banking stocks such as US Bancorp (2.54%), M&T Bank (1.13%), Fifth Third Bancorp (1.03%), and Huntington Bancshares (0.83%). Rebalancing Summary Removed Stocks The following stocks w...
Read more

U.S. Semiconductor Tariff Exemptions: Critical Analysis of Executive Orders 14257 & 14259 (April 2025)

Image
In the midst of escalating global trade tensions, the United States has introduced significant tariff policies through Executive Orders 14257 and 14259, with special provisions for semiconductors that could reshape global supply chains and trade relationships. This analysis examines the key exemptions for the semiconductor industry and their broader implications. 1. Executive Order Framework and Timeline Executive Order 14257 (signed April 2, 2025) established the foundation of the "Reciprocal Tariffs" policy with a 10% base tariff on all imported goods, plus additional tariffs of up to 50% for 57 countries. Notably, it included specific carve-outs for critical technological components including semiconductors. Executive Order 14259 (implemented April 8-9, 2025) provided crucial clarifications on exemption categories and updated reporting requirements. This order specifically addressed semiconductors, computer components, and telecommunications equipment, establishing t...
Read more

SPDR Bridgewater All Weather ETF (ALLW) Launch: Innovation or Strategy Limitation?

Bridgewater Associates, the world's largest hedge fund, and State Street Global Advisors, a major U.S. asset management firm, launched the 'SPDR Bridgewater All Weather' ETF (ticker: ALLW) on March 6, 2025. This collaboration has generated significant buzz in the investment industry, though perspectives on this strategy remain divided. Let's explore the implications of this landmark ETF launch and what it means for investors seeking all-weather portfolio solutions in today's increasingly complex financial landscape. The Core and History of the All Weather Strategy After founding Bridgewater in 1975, "Wall Street guru" Ray Dalio developed the 'All Weather' investment strategy with the goal of preserving and growing assets in any economic environment. This strategy is characterized by building a portfolio designed to withstand four major economic scenarios: inflation, deflation, recession, and economic boom. Dalio's approach was revolutionary...
Read more