On Thursday, amidst trading fluctuations, the S&P 500 edged slightly upwards nevertheless concluded the short trading week with a dip as fears around tariffs still loomed over the minds of investors. This wide-ranging index saw an enhancement of 0.13%, finally closing at 5,282.70 after shuffling between profit and loss earlier in the day. Meanwhile, the Nasdaq Composite subtly declined by 0.13% to complete at 16,286.45. The Dow Jones Industrial Average, however, dropped a sizable 527.16 points or 1.33% wrapping up at 39,142.23.
The 30-company index was significantly affected by a huge 22% drop in UnitedHealth, a consequence of the insurer’s disappointing earnings report. The Dow and the Nasdaq both registered a three-day losing streak. Tech giant Nvidia saw its shares devalue nearly 3% on the same day, adding on to its 7% tumble from the day prior.
Nvidia, renowned for its contributions to artificial intelligence, earlier in the week announced a quarterly expense of approximately $5.5 billion, relating to exports of its H20 graphics processing units (GPUs) to China among other locations – a result of the US’s stringent export control measures.
Despite the dampening impact of UnitedHealth and Nvidia, there were a few notable stocks that boosted the market. Eli Lilly, the pharmaceutical giant, saw a soar of 14% in their stocks, driven by the promising outcomes of the clinical trials of their new weight-loss pill.
Mid-afternoon on Thursday, stocks experienced a short-lived upward spike. This boost came post the President Donald Trump’s statement, where he projected optimism for reaching trade agreements with both China and the European Union.
A day prior, Federal Reserve Chair Jerome Powell had unsettled investors. He expressed concerns over the potential of Trump’s tariff policies fuelling short-term inflation, posing a tricky situation for the central bank.
Despite these mixed signals, the overarching result for the week remained negative. With the market closure for Good Friday, the week ended with Thursday’s close. The Dow and Nasdaq both reported weekly losses exceeding 2%, while the S&P 500 decreased by 1.5%.
The market has been in a state of heightened vigilance since Trump’s announcement of his reciprocal tariff strategy on April 2, which he subsequently rescinded. Since then, the S&P 500 has experienced a marked decline of approximately 7%.
Following suit, both the Dow and Nasdaq have also witnessed serious losses over 7% within that time frame. This hints at a marketplace that currently seems to be in a holding pattern, awaiting clear direction and meaningfully influenced by the pending outcomes of the trade deal discussions.
Thursday saw a tiny victory for the S&P 500, which rose by 0.1%, putting an end to its two-day losing run. Conversely, that day the Dow and Nasdaq Composite fell by 1.3% and 0.1% respectively; they each marked their third consecutive loss.
In a conclusion to the holiday-shortened week, all three indices – The S&P 500, the Dow and Nasdaq – closed in the negative. Considering the fluctuations and the uncertainty pervading the market, investors and analysts are eagerly waiting for a clear change in direction.
The overall landscape was a testament to the fact that market activities were heavily affected by the worries over tariffs, the health of known companies, and the general economic scenario
The performance on Thursday mirrored a larger, ongoing trend – a market that is waiting for clarity and a sense of direction, especially in light of the current trade deal discussions.