Market Turmoil: March 2025 Sees Significant Indices Decline Amid Economic Uncertainty (Weekly Recap)

The stock market experienced considerable volatility and overall declines from March 3 to March 7, 2025. Below is a summary of the key events and market movements:

1. Significant declines in major indices:

   • The S&P 500 decreased by 3.1% for the week, marking its worst performance in six months.

   • The Nasdaq Composite fell by 3.5% for the week.

   • The Dow Jones Industrial Average dropped by 2.4%.

2. Factors contributing to market turbulence:

   • Uncertainty surrounding U.S. trade policies and tariffs.

   • Concerns about future U.S. economic growth.

   • A global increase in borrowing costs.

3. Notable events:

   • President Trump announced a delay of 25% tariffs on most imports from Canada and Mexico until April 2.

   • The Nasdaq entered correction territory, declining more than 10% from its peak.

   • Federal Reserve Chair Jerome Powell indicated that the economy remains robust, which aided in a stock rebound on Friday.

4. Market performance for 2025 to date:

   • The Nasdaq is down 5.8% year-to-date.

   • The S&P 500 has decreased by 1.9%.

   • The Dow Jones Industrial Average is up by less than 1%.

5. Sector highlights:

   • Broadcom (AVGO) surged 8.6% following strong quarterly results and a positive outlook for its AI business.

   • Walgreens Boots Alliance (WBA) agreed to a $10 billion buyout deal, resulting in a 7.5% increase in its shares.

Despite the overall negative trend, the week concluded with a slight recovery on Friday, as investors assessed the latest economic data and statements from the Federal Reserve.

Best Regards,

Stock Market Charlie aka The Hound of 317