On March 18, 2025, New York’s stock market took a tumble after three days of gains! Tech stocks led the charge downward, with the Nasdaq dropping over 2% at one point, just a day before the Federal Open Market Committee (FOMC) decision.
The Dow Jones fell 0.62% to 41,581.31, the S&P 500 slipped 1.07% to 5,614.66, and the Nasdaq plunged 1.71% to 17,504.12—all amid growing risk-off vibes.
The FOMC meeting’s got everyone on edge! A rate freeze is almost certain, but doubts linger about a “Fed Put” rescue, leaving investors jittery.
Here’s a twist—good news hit! Trump and Putin agreed to a partial Ukraine ceasefire, halting attacks on energy and infrastructure for 30 days and kicking off talks for a full truce. Tensions easing, right?
So why didn’t stocks bounce? Experts point to lingering tariff uncertainty and profit-taking after two days of sharp rebounds.
Economic signals were mixed. February’s import prices jumped 0.4% (way above the expected -0.1%), while manufacturing output soared 0.9%, thanks to an 8.5% spike in auto production.
Bonds rallied—10-year Treasury yields dropped 2.5bp to 4.2820%, boosted by a strong 20-year bond auction. The dollar weakened, with the DXY sliding to 103.228.
Oil prices dipped 1%, with WTI at $66.90, reflecting the ceasefire news. So, where’s the market going next?
