FinancialfocusHub.com
  • Home
  • Crude Oil
  • Cryptocurrency
  • Forex
  • Funds
  • Gold
  • Insurance
  • News
  • Stocks
No Result
View All Result
  • Home
  • Crude Oil
  • Cryptocurrency
  • Forex
  • Funds
  • Gold
  • Insurance
  • News
  • Stocks
No Result
View All Result
FinancialfocusHub.com
No Result
View All Result
ADVERTISEMENT

S&P 500 Climbs 1% as Dollar Drops on Tariff Delay

Alice by Alice
2025-02-14
in News
Gold

Gold

ADVERTISEMENT

The stock market reached near-record levels as the dollar fell following President Donald Trump’s decision to impose tariffs—but with a delayed start.

The S&P 500 rose by 1%, with all major sectors seeing gains. Meanwhile, the US dollar weakened against all major currencies. Treasury bonds rebounded after their largest decline since December. Tech stocks saw strong performance, with Tesla Inc. and Nvidia Corp. both rising over 3%. Apple Inc. gained 2% after CEO Tim Cook announced a new product release on February 19. Meta Platforms Inc. extended its rally, marking a 19th consecutive day of gains.

ADVERTISEMENT

Tariff Announcement and Its Impact

President Trump signed a directive to impose new tariffs on a country-by-country basis. However, the process is expected to take time, with studies scheduled to be completed by April 1. Trump could take action immediately after that, according to Howard Lutnick, his nominee for Commerce Secretary.

ADVERTISEMENT

The delay in imposing tariffs is being viewed by some as a negotiation tactic, rather than a firm decision to proceed with the levies. Analysts believe Trump’s approach could be an effort to open discussions with global trade partners, similar to tactics used with Mexico and Canada.

ADVERTISEMENT

Jose Torres at Interactive Brokers highlighted that investors might not take Trump’s rhetoric seriously, as it appears more focused on negotiations than concrete action. Ian Lyngen at BMO Capital Markets suggested that the delay leaves room for trade partners to propose counteroffers, adding complexity to the situation.

Inflation Data and Market Reactions

Despite stronger-than-expected inflation data, Wall Street traders remained optimistic. The January producer price index (PPI) rose more than anticipated. However, components that influence the Federal Reserve’s preferred inflation gauge, the Personal Consumption Expenditures (PCE) price index, showed more favorable signs, with declines in healthcare and airfare prices. The next PCE report is due on February 28.

The S&P 500 surpassed the 6,100 mark, and the Nasdaq 100 increased by 1.4%. The Dow Jones Industrial Average rose 0.8%. The Russell 2000, which tracks smaller companies, gained 1.2%. In after-hours trading, Applied Materials Inc. gave a cautious revenue forecast, while Airbnb Inc. provided an optimistic outlook.

Dollar Decline and Future Outlook

The yield on 10-year Treasury bonds fell by nine basis points to 4.53%. The Bloomberg Dollar Spot Index lost 0.7%, while the yen gained 1.1% as investors sought safer assets. The Canadian dollar reached its highest point of the year.

While the dollar weakened in the short term, analysts remain positive on its long-term outlook. Ryan Grabinski of Strategas noted that fewer expected interest rate cuts in the US, combined with rate cuts in other countries, may help maintain the dollar’s strength. A stronger dollar tends to benefit US domestic equities, while a weaker dollar supports emerging markets and international equities.

Grabinski also pointed out that technology and materials sectors—both of which generate a significant portion of their revenue overseas—are most sensitive to changes in the dollar. Conversely, the utilities sector, with minimal foreign revenue exposure, is less affected by currency fluctuations.

Market Outlook and Bearish Sentiment

Goldman Sachs’ Scott Rubner warned of a potential bearish shift in the US stock market. He noted that the market is becoming increasingly crowded, with retail traders, 401k inflows, and corporate activity driving demand. However, Rubner believes that the dip-buying trend is losing momentum, and a negative turn could be approaching in the near future.

He cautioned that the changing flow dynamics and upcoming seasonal factors may signal a shift in market sentiment. Rubner called this his “last bullish email” for the first quarter of 2025, reflecting a more cautious outlook for the immediate future.

Related topics:

  • How to Sell Stocks on Schwab
  • How to Take Profits from Stocks Without Selling
  • How to Find Short Squeeze Stocks
ADVERTISEMENT
Previous Post

How to Transfer Ripple (XRP) to USD

Next Post

Stock Market Today: Dow, S&P 500, Nasdaq Futures Inch Up Amid Trump’s Tariff Moves

Alice

Alice

Related Posts

China’s Inclusive Finance: Powering Innovation in the New Quality Productive Forces
News

China’s Inclusive Finance: Powering Innovation in the New Quality Productive Forces

2025-05-14
RMB Strengthens as China-U.S. Trade Tensions Ease
News

RMB Strengthens as China-U.S. Trade Tensions Ease

2025-05-14
China Launches 2025 SME Financial Support Initiative
News

China Launches 2025 SME Financial Support Initiative

2025-05-14
Building a World-Class Treasury System: China’s Path to Financial Resource Integration
News

Building a World-Class Treasury System: China’s Path to Financial Resource Integration

2025-05-14
The Global Battle for Digital Currency Supremacy Reshapes Financial Order
News

The Global Battle for Digital Currency Supremacy Reshapes Financial Order

2025-05-14
U.S. Treasury Sell-Off Sparks Global Financial Market Turmoil, Raising Fears of a Debt Crisis
News

U.S. Treasury Sell-Off Sparks Global Financial Market Turmoil, Raising Fears of a Debt Crisis

2025-05-14
Finance’s Digital Transformation in the Era of AI
News

Finance’s Digital Transformation in the Era of AI

2025-05-14
Debt Wall, Consumer Strain, And a Fed ‘trapped by Politics’: Stephanie Pomboy Warns of Market Reckoning
News

Debt Wall, Consumer Strain, And a Fed ‘trapped by Politics’: Stephanie Pomboy Warns of Market Reckoning

2025-05-14
Gold Gains, The Dollar Weakens as Inflation Cools to a Four-Year Low
News

Gold Gains, The Dollar Weakens as Inflation Cools to a Four-Year Low

2025-05-14
Next Post
Mutual Funds5

Stock Market Today: Dow, S&P 500, Nasdaq Futures Inch Up Amid Trump’s Tariff Moves

How to Find Short Squeeze Stocks

China Faces $411 Billion Liquidity Crunch Ahead of Key Legislative Meetings

Cryptocurrency4

Coinbase Exceeds Q4 Profit Estimates, Driven by Crypto Trading Surge

Popular Articles

China Insurance Association Introduces Elderly-Friendly Service Standards for Insurance Sector
Insurance

China Insurance Association Introduces Elderly-Friendly Service Standards for Insurance Sector

by jingji06
2025-05-14

The China Insurance Association has officially unveiled the Elderly-Friendly Service Standards for Insurance Institutions marking a significant step toward improving...

Stocks7

How To Find Oversold Stocks: A Beginner’s Guide

2025-05-10
How Much Is Trintellix Without Insurance?

How Much Is Trintellix Without Insurance?

2025-05-09
Forex1

What Is A Prop Firm Forex: How Does It Work?

2025-05-12
This Is The Biden Campaign That Trump Still Supports

This Is The Biden Campaign That Trump Still Supports

2025-05-11
How To Read Forex Charts: A Beginner’s Guide

How To Read Forex Charts: A Beginner’s Guide

2025-05-12
Who Pays for My Health Insurance While on Workers’ Compensation

Who Pays for My Health Insurance While on Workers’ Compensation

2025-05-13
What Is The Average Drawdown Of A Stock? How Does It Work?

What Is The Average Drawdown Of A Stock? How Does It Work?

2025-05-12

Recent Posts

China’s Inclusive Finance: Powering Innovation in the New Quality Productive Forces
News

China’s Inclusive Finance: Powering Innovation in the New Quality Productive Forces

by jingji06
2025-05-14

As China accelerates its development of "new quality productive forces"—a growth model prioritizing technological breakthroughs and industrial modernization—financial inclusion has...

RMB Strengthens as China-U.S. Trade Tensions Ease

RMB Strengthens as China-U.S. Trade Tensions Ease

2025-05-14
China Launches 2025 SME Financial Support Initiative

China Launches 2025 SME Financial Support Initiative

2025-05-14
Building a World-Class Treasury System: China’s Path to Financial Resource Integration

Building a World-Class Treasury System: China’s Path to Financial Resource Integration

2025-05-14
China Insurance Association Introduces Elderly-Friendly Service Standards for Insurance Sector

China Insurance Association Introduces Elderly-Friendly Service Standards for Insurance Sector

2025-05-14
Hot Topic Focus | Serving 310 Million Seniors: China Releases Groundbreaking Insurance Service Standards

Hot Topic Focus | Serving 310 Million Seniors: China Releases Groundbreaking Insurance Service Standards

2025-05-14
The Global Battle for Digital Currency Supremacy Reshapes Financial Order

The Global Battle for Digital Currency Supremacy Reshapes Financial Order

2025-05-14
U.S. Treasury Sell-Off Sparks Global Financial Market Turmoil, Raising Fears of a Debt Crisis

U.S. Treasury Sell-Off Sparks Global Financial Market Turmoil, Raising Fears of a Debt Crisis

2025-05-14

Cryptocurrency

Cryptocurrency27

NFT Marketplace X2Y2 to Shut Down After Three Years as Trading Volume Plummets

2025-04-04
Cryptocurrency

Elon Musk Denies U.S. Government Plans to Use Dogecoin, Cryptocurrency Drops 3%

2025-04-01
Cryptocurrency

Gold Bull Peter Schiff Bets on Bullish Gold Amid Bitcoin’s Struggles

2025-03-30
Cryptocurrency

Fidelity Plans to Launch Spot Solana ETF

2025-03-29
Cryptocurrency

BlackRock Launches Bitcoin ETP in Europe: A Key Step for Institutional Adoption

2025-03-28
Cryptocurrency

Closing Bell Movers: GameStop Gains 7% on Earnings, Bitcoin Announcement

2025-03-27
FinancialfocusHub.com

FinancialFocusHub.com is your gateway to insightful financial guidance and strategies. Explore expert advice on investing, saving, and managing wealth. Stay informed with the latest trends and tools to empower your financial journey.

Recent Posts

  • China’s Inclusive Finance: Powering Innovation in the New Quality Productive Forces 2025-05-14
  • RMB Strengthens as China-U.S. Trade Tensions Ease 2025-05-14
  • China Launches 2025 SME Financial Support Initiative 2025-05-14
  • Building a World-Class Treasury System: China’s Path to Financial Resource Integration 2025-05-14
  • China Insurance Association Introduces Elderly-Friendly Service Standards for Insurance Sector 2025-05-14

TAGS

Useful Links

ABOUT US

Disclaimer

Privacy Policy

Copyright © 2024 financialfocushub.com

No Result
View All Result
  • Home
  • Forex
  • Insurance
  • News
  • Stocks

Copyright © 2024 FinancialFocusHub.com is your gateway to insightful financial guidance and strategies. Explore expert advice on investing, saving, and managing wealth. Stay informed with the latest trends and tools to empower your financial journey.