| Name | Daily Close | Daily Change | Daily Change (%) |
|---|---|---|---|
| Dow | 44,303.40 | -444.23 | -0.99% |
| S&P 500 | 6,025.99 | -57.58 | -0.95% |
| Nasdaq | 19,523.40 | -268.59 | -1.36% |
| VIX | 16.54 | 1.04 | 6.71% |
| Gold | 2,886.30 | 9.6 | 0.33% |
| Oil | 71.06 | 0.45 | 0.64% |
US MARKET
Stocks erased this week’s gains, with the S&P 500 down almost 1% during what was an initially up but later sold off on a series of announcements. The S&P 500 declined 0.9%. The Nasdaq 100 lost 1.3%. The Dow Jones Industrial Average declined 1%. A gauge of the “Magnificent Seven” megacaps declined 1.9%. The Russell 2000 dropped 1.2%. Amazon fell approximately 4%.Friday was a topsy-turvy day for the markets. U.S. indices rallied at the beginning of the day but subsequently turned based on at least two of the key announcements.First came the University of Michigan Sentiment Index data, showing that consumers expect inflation to be a full percentage point higher in 12-months from 3.3% to 4.3% on account of tariffs. This began the sell-off in stocks in the rise in bond yields.
Then came the jobs data report showing nonfarm payrolls moderated last month, unemployment fell, and annual government revisions now show job gains were softer but still solid in 2024. Overall, the report was viewed as ‘good news’, illustrating a moderating yet still-strong labour market that continues to fuel the economy.
Finally, President Donald Trump said he will announce reciprocal levies next week in an escalation of his trade war. He also stated his continued opposition to Nipon Steel’s proposed purchase of US Steel (effectively the same theme as tariffs). This clearly reemphasises concerns that the proposed policies from the Trump administration risk reigniting inflationary pressures. It also further explains why Fed officials have signalled they are not in a hurry to lower borrowing costs further after a full percentage point of interest-rate cuts last year.
Australian shares narrowly missed closing at a record high on Friday. The S&P/ASX 200 ended the session down 9.3 points, or 0.1%, at 8511.43 in a volatile trading day. The Commonwealth Bank of Australia is running with the highest 1-year return of +40.39%. Domino’s Pizza Enterprises revealed plans to shut down 205 underperforming stores, mainly in Japan, triggering a sharp 23.8% rise in its stock price to A$36.68. The index declined 0.2% for the week, coming within 21 points of a new peak. Meanwhile, the Australian dollar gained 2.2% over the week to US62.84c, following a period of sharp fluctuations.