Daily summary: Tech stocks rebound, dollar dominates, gold pulls back (21.03.2025)

18:50 21 March 2025
  • U.S. indices have recovered most of the losses from today’s opening. The Nasdaq is trading flat, the DJIA is down 0.1%, the S&P 500 falls 0.3%, and the Russell 2000 loses the most (-0.5%). The fear index, VIX, is up nearly 1.3% today.

  • Donald Trump has announced "flexibility" regarding the retaliatory tariffs planned for early April.

  • John Williams of the Fed sees no risks of uncertainty in U.S. inflation expectations, describing the latest data from the University of Michigan as an outlier.

  • Boeing (BA.US) shares are up more than 5% after the company secured a strategic Pentagon contract for the new U.S. F-47 fighter jet, valued at $20 billion.

  • Today’s Wall Street session brings another attempt to improve sentiment around Tesla (TSLA.US). The company’s shares are rebounding 4% today after U.S. indices pared losses following Trump’s comments.

  • Europe closed the week with declines. Almost all indices on the Old Continent experienced corrections (German DAX: -0.47%, French CAC40: -0.63%, British FTSE 100: -0.63%, Italian FTSE MIB: -0.39%, Swiss SMI: -0.17%), except for Spain’s IBX35, which added 0.33%.

  • "Everything points to another rate cut in April," commented Yannis Stournaras, one of the dovish members of the ECB.

  • Shares of International Airlines Group (IAG.UK) fell nearly 2% during today’s session after Heathrow Airport was forced to suspend air traffic for the entire day due to a fire at an electrical substation supplying the airport.

  • Gold and other precious metals are losing significant value today as Triple Witching Day increases volatility (trading volumes), encouraging profit-taking after a strong Q1 rally.

  • Brend and WTI crude oil futures tick slighlty up today (0.21% nad 0.29 respectively), while NATGAS contract slip 0.7%.

  • The forex market was dominated by the U.S. dollar today, which strengthened against almost all G10 currencies (USDIDX: +0.26%). The biggest depreciations were seen in Antipodean currencies (AUDUSD: -0.43%, NZDUSD: -0.38%), followed by the British pound (GBPUSD: -0.34%) and the Japanese yen (USDJPY: +0.32%). EURUSD is down for the third consecutive day (-0.26%), dropping to 1.0823.

  • Market sentiment is mixed. Bitcoin is trading flat intraday, while Ethereum is down nearly 0.4%.

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