empty
09.04.2025 10:44 AM
US markets attempt to stabilize at key support levels

This image is no longer relevant

S&P 500

The market tries to hold support

Main US indices on Tuesday: Dow -0.8%, NASDAQ -2.2%, S&P 500 -1.6%, S&P 500 at 4983, range 4800–5700.

It was another volatile session for the stock market. A strong rally began immediately after the opening, pushing the S&P 500 and Nasdaq Composite up by 4.1% and 4.6%, respectively.

The Dow Jones Industrial Average was more than 1,400 points higher than yesterday, at its best level of the day.

However, the main indices closed in negative territory, with the S&P 500 (-1.6%) finishing below the 5000 mark.

Catalysts for the downturn included the White House's confirmation that 104% tariffs on imports from China would take effect at midnight, as well as weak demand in the $58 billion 3-year bond auction.

Stocks had already been slowly declining before these catalysts came into play, suggesting that some early-session profit-taking may have contributed to the reversal.

Selling pressure in megacaps and chipmakers was another driver of the drop. Apple (AAPL 172.42, -9.04, -5.0%), which had gained 4.9% at its intraday high, and NVIDIA (NVDA 96.30, -1.34, -1.4%), which had surged 8.4% during the day, ended among the biggest losers in the space.

Each sector of the S&P 500 was higher during the early rally, but every sector turned lower by the close.

The materials sector (-3.0%) and consumer goods sector (-2.5%) posted the worst performance, while financials saw the smallest decline, falling just 0.4%.

The US Treasury market also experienced a sharp reversal. The 10-year yield, which had risen 11 basis points to 4.26%, fell back to 4.17% by the end of the session.

Tuesday's economic calendar was limited to the NFIB Small Business Optimism Index, which dropped to 97.4 in March from 100.7.

Year-to-date:

Dow Jones Industrial Average: -11.5%

S&P 500: -15.3%

S&P Midcap 400: -17.9%

Nasdaq Composite: -20.9%

Russell 2000: -21.1%

Energy: Brent crude trades at $61.10, a year-to-date and multi-year low, under clear pressure from expectations of weakening demand for resources amid the US–China trade war.

It has been revealed that China has begun settling oil transactions in yuan, a major challenge to the US dollar, which had previously been the exclusive currency used in global oil trade. Clearly, this is also part of China's response to Trump's tariff actions.

Conclusion: Hold long positions from support levels. Right now, it presents a decent buying point for the US market via the SPX instrument (S&P 500 equivalent). However, these investments should be made without leverage, based only on personal funds, as new waves of market decline remain possible.

Mikhail Makarov, for more analytics.

https://www.instaforthtex.com/ru/forex_analysis/?x=mmakarov

https://www.ifxproinvest.net/ru/forex_analysis/?x=mmakarov

Jozef Kovach,
Analytical expert of InstaForex
© 2007-2025
Summary
Urgency
Analytic
Mihail Makarov
Start trade
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

Trump strikes deal with Japan — and other key headlines shaping your portfolio

Markets are bracing for a new wave of disruption: Trump seals a tariff deal with Japan, Apple dodges multimillion-dollar fines, Amazon challenges Meta and OpenAI, and AstraZeneca builds a pharma

Аlena Ivannitskaya 13:14 2025-07-23 UTC+2

Update on US stock market on July 23: SP500 and NASDAQ recoup all earlier losses

As of yesterday's close, US stock indices ended mixed. The S&P 500 rose by 0.06%, while the Nasdaq 100 fell by 0.39%. The industrial Dow Jones gained 0.40%. The record-breaking

Jakub Novak 09:27 2025-07-23 UTC+2

Update on US stock market on July 22. SP500 and NASDAQ sharply down

US stock indices closed mixed yesterday. The S&P 500 rose by 0.14%, and the Nasdaq 100 gained 0.38%. However, the industrial Dow Jones dipped by 0.04%. Today, Asian stocks declined

Jakub Novak 09:54 2025-07-22 UTC+2

High-profile elections in Japan and three important signals for traders

Markets are once again in a state of turbulence. The Japanese yen is fluctuating wildly following the political collapse of Prime Minister Shigeru Ishiba's coalition, which has deepened uncertainty

Аlena Ivannitskaya 12:43 2025-07-21 UTC+2

US stocks end week higher

S&P 500 Overview for July 21 The US market ended the week with gains Major US indices on Friday: Dow -0.3%, NASDAQ +0%, S&P 500 +0%, S&P 500 at 6,297

Jozef Kovach 09:30 2025-07-21 UTC+2

Update on US stock market on July 18. Investors overwhelmed by optimism. SP500 above 6,300

S&P500 Snapshot of major US stock indexes on Thursday Dow +0.5%, NASDAQ +0.7%, S&P 500 +0.5%, S&P 500 closed at 6,297, trading in a range of 5,900 to 6,400

Jozef Kovach 12:48 2025-07-18 UTC+2

Stock market on July 18: SP500 and NASDAQ continue their rally

As of yesterday, US stock indices closed higher. The S&P 500 rose by 0.54%, while the Nasdaq 100 added 0.75%. The industrial Dow Jones strengthened by 0.52%. Today

Jakub Novak 12:02 2025-07-18 UTC+2

Update on US stock market on July 17: key stock indices consolidating below their highs

S&P500 Snapshot of major US stock indices on Wednesday Dow +0.5%, NASDAQ +0.3%, S&P 500 +0.3%, S&P 500 closed at 6263, trading in a range of 5,900 to 6400

Jozef Kovach 13:03 2025-07-17 UTC+2

Stock market on July 17: SP500 and NASDAQ lifted by Powell speculation

As of yesterday, US stock indices closed higher. The S&P 500 rose by 0.32%, while the Nasdaq 100 added 0.25%. The industrial Dow Jones strengthened by 0.53%. The dollar also

Jakub Novak 12:28 2025-07-17 UTC+2

Update on US stock market on July 16: decline following key reports

S&P500 Snapshot of US major stock indices on Tuesday Dow -1%, NASDAQ +0.2%, S&P 500 -0.4%, S&P 500 closed at 6,243, trading in a range of 5,900 to 6,400

Jozef Kovach 13:11 2025-07-16 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.