empty
13.03.2025 09:28 AM
Stock Market on March 13: SP500 and NASDAQ Gains Were Short-Lived

Futures for the S&P 500 and NASDAQ indices declined again following yesterday's unexpected U.S. inflation data, which revealed a slowdown in price pressures that contradicted economists' forecasts. Asian stocks also fell, continuing a trend of heightened volatility over the past two weeks that has resulted in hedge fund losses and prompted Wall Street strategists to lower their forecasts for U.S. stocks.

This image is no longer relevant

Today, U.S. and European futures dropped by 0.5%, while NASDAQ 100 contracts fell by 0.9%, interrupting Wednesday's rally. In contrast, Treasury bonds rose, and the yen strengthened after Bank of Japan Governor Kazuo Ueda expressed expectations for improvements in real wages and consumer spending.

The fluctuations in the stock market illustrate the uncertainty affecting investors amid an aggressive sell-off over the last two weeks. This volatility has been driven by higher unemployment rates and federal job cuts, which have increased the likelihood of slower U.S. economic growth. Additionally, the escalation of former President Donald Trump's trade war and geopolitical developments related to Ukraine have raised concerns among investors, some of whom are considering moving their capital out of the U.S.

Recently, analysts have become more cautious in their outlook on the U.S. market. Goldman Sachs Group Inc. is the latest to raise alarms, following similar actions by Citigroup Inc. and HSBC Holdings Plc. Earlier this week, Citi downgraded its rating on U.S. stocks from "overweight" to "neutral," while upgrading China's rating to "overweight."

The renewed market volatility arises from the recent realization that a single soft Consumer Price Index (CPI) report may not change the Federal Reserve's trajectory. Expectations that the Fed will maintain elevated interest rates have dampened demand, leading to another sell-off of risk assets.

Yesterday, Senate Majority Leader Chuck Schumer announced that his party would block the Republicans' spending bill to prevent a government shutdown on Saturday. He urged the GOP to approve the Democrats' funding plan, which is proposed to extend through April 11. This situation suggests that the recent market bottom may not be the true bottom.

On the tariffs front, former President Trump announced that the U.S. would respond to the European Union's countermeasures against his new 25% tariffs on steel and aluminum, increasing the risk of escalating trade tensions. Additionally, Canada has imposed 25% tariffs on American-made products valued at approximately $20.8 billion, including steel and aluminum, in response to the Trump administration's global tariffs on these materials.

In commodities, gold prices rose and were trading around $2,940 per ounce. Meanwhile, oil prices fell on Thursday after experiencing their largest two-week rally.

This image is no longer relevant

Technical Outlook for S&P 500

The decline continues. Buyers' main task today is to overcome the nearest resistance at $5,586. This will help sustain the upward movement and open the way for a push to a new level of $5,617. An equally important goal for bulls is maintaining control over $5,645, which would strengthen their position.

If the index moves downward amid reduced risk appetite, buyers must show strength around $5,552. A breakout below this level will quickly push the index back to $5,520 and open the path toward $5,483.

Jakub Novak,
Analytical expert of InstaTrade
© 2007-2025

Recommended Stories

Update on US stock market on June 20. SP500 and NASDAQ open with gains

Yesterday, US financial markets were closed. US stock indices ended the electronic trade mixed: the S&P 500 slipped by 0.03%, the Nasdaq 100 gained 0.13%, and the Dow Jones Industrial

Jakub Novak 11:54 2025-06-20 UTC+2

S&P 500 Forecast for June 20, 2025

For the past six weeks, the price has been unsuccessful in testing the resistance of the MACD indicator line on the weekly chart. However, the recent consolidation above the 5908

Laurie Bailey 07:16 2025-06-20 UTC+2

Calm above, crisis below: markets weigh oil, inflation, and Middle East risks

The US stock market is showing mixed performance, reflecting investors' ambivalent outlook after the holiday break. In the latest trading session, the S&P 500 slipped 0.03%, while the Nasdaq rose

Anna Zotova 13:29 2025-06-19 UTC+2

Update on US market on June 19. Federal Reserve downgrades its economic outlook. Stock market awaits correction

S&P500 Snapshot of major US stock indices on Wednesday Dow -0.1%, NASDAQ +0.1%, S&P 500 -0.1%, the S&P 500 closed yesterday at 5,981 trading within the range of 5,600

Jozef Kovach 12:43 2025-06-19 UTC+2

Stock Market as of May 19th: S&P 500 and NASDAQ Decline After Fed Meeting

At the end of the previous regular session, U.S. stock indices closed mixed. The S&P 500 fell by 0.03%, while the Nasdaq 100 rose by 0.13%. The Dow Jones Industrial

Jakub Novak 10:54 2025-06-19 UTC+2

Stock Market on May 18th: S&P 500 and NASDAQ

At the close of the most recent regular session, U.S. stock indices ended in decline. The S&P 500 fell by 0.84%, while the Nasdaq 100 dropped by 0.91%

Jakub Novak 11:53 2025-06-18 UTC+2

All eyes on Powell, but geopolitics may steal spotlight

The market is at a standstill. With the Fed's decision looming and growing political pressure from two fronts — monetary and geopolitical — market participants are bracing for a sharp

Anna Zotova 11:27 2025-06-18 UTC+2

Playing on edge: can markets ignore geopolitics for another day?

The US stock market continues to disregard geopolitical realities. Indices have approached key levels and are ready for a breakout. The only question is, in which direction? If upcoming events

Anna Zotova 13:27 2025-06-17 UTC+2

Stock Market on May 17th: S&P 500 and NASDAQ

At the end of the last regular session, U.S. stock indices closed higher. The S&P 500 rose by 0.94%, while the Nasdaq 100 gained 1.55%. The Dow Jones Industrial Average

Jakub Novak 11:56 2025-06-17 UTC+2

Update on US stock market on June 17

S&P500 Snapshot of major US stock indices on Monday: Dow +0.8%, NASDAQ +1.5%, S&P 500 +0.9%, S&P 500 at 6,033 in an intraday range of 5,600 to 6,200. On Monday

Jozef Kovach 10:45 2025-06-17 UTC+2
Can't speak right now?
Ask your question in the chat.