Market

US stocks fell on Monday in response to President Donald Trump's announcement of tariffs on China, Mexico, and Canada. However, major averages pared heavy losses mid-morning after President Trump said he would delay tariffs against Mexico by a month. The tech-heavy Nasdaq Composite (^IXIC) pared losses in half to drop around 1%, while the S&P 500 (^GSPC) fell 0.6%. The Dow Jones Industrial Average (^DJI) was down 0.2%. Consumer discretionary (XLY) stocks, which includes automakers, were the hardest hit early in the day. Tech (XLK) also dragged on markets as shares of AI chip giant Nvidia (NVDA) and iPhone maker Apple (AAPL) dropped. The tariffs, set to take effect on Tuesday, will include 25% duties on Canada and Mexico, and 10% on China. Energy imports from Canada will carry a lower 10% duty. On Monday morning President Trump said he spoke with Mexican President Claudia Sheinbaum and she agreed to send 10,000 soldiers to the border to stop the flow of fentanyl, and illegal migrants into the US.

Published on: February 03, 2025, 04:01 PM UTC

The US bond market warns President Trump that his tariffs may fuel inflation and slow economic growth. The risk of higher import prices rekindling inflation has hovered over markets since Trump's election. Traders expect the nascent trade war to deal a fresh shock to the resilient economy, narrowing the gap between 2- and 30-year bond yields.

Published on: February 03, 2025, 04:01 PM UTC

Trump says Fed was right to pause on rate cuts, despite prior demand for lower rates. Economists predict tariffs will push inflation higher, potentially preventing rate cuts in 2025. Fed watchers urge caution as tariffs may impact inflation and growth, potentially affecting the Fed's policy stance.

Published on: February 03, 2025, 04:00 PM UTC

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Published on: February 03, 2025, 04:00 PM UTC

Canada's energy sector may have dodged a trade war bullet, with the US imposing a lower 10% tariff on crude and potentially exempting some shipments altogether. While the tariffs could disrupt the integrated North American energy market, Canada has partial shields in place, including the expanded Trans Mountain pipeline.

Published on: February 03, 2025, 03:05 PM UTC

Financial giants like Charles Schwab and Morgan Stanley are moving towards crypto custory services as the Trump administration eases regulations and encourages crypto adoption. This shift brings wider acceptance and integration of crypto in mainstream financial channels.

Published on: February 03, 2025, 03:04 PM UTC

The Trump administration's Justice Department files suit to block Hewlett Packard's acquisition of Juniper Networks, signaling a tough stance on antitrust enforcement.

Published on: February 03, 2025, 03:03 PM UTC

Southwest Airlines faces challenges with rising costs, but CEO remains optimistic about recovery strategy and improving outlook for Boeing, its fleet partner.

Published on: February 03, 2025, 03:03 PM UTC

Trump's tariffs on Canada, Mexico, and China send shockwaves through Wall Street, with analysts predicting pain and a hit to economic growth. Morgan Stanley sees a recession in Mexico and a drag on US growth. EvercoreISI warns of inflation and a slowdown. JP Morgan highlights the financial risks to metals companies. Bernstein notes the impact on risk-on sentiment and crypto markets. Vontobel emphasizes the uncertainty and the need for Swiss companies to adapt. Deutsche Bank anticipates a recession in Canada and Mexico and a boost to the US dollar. BMO Capital Markets recommends focusing on quality companies and dividends. TD Securities expects a reduction in Fed easing pricing and a selloff in the US short end. Stifel warns of supply chain disruptions and inflationary pressures for footwear and apparel companies.

Published on: February 03, 2025, 03:03 PM UTC

Robinhood Launches Event Contracts for Super Bowl LIX, Marking Foray Into Sports Betting

Published on: February 03, 2025, 03:02 PM UTC