The S&P 500 hit a six-month low on Monday before rebounding, with the first quarter still ended in the red.
The Dow Jones Industrial Average opened lower on Tuesday as investors awaited clarity on U.S. trade policy, with concerns over tariffs ahead of Trump’s April 2 deadline and weak economic data weighing on sentiment.
The Dow Jones Industrial Average fell 75 points, or 0.2 percent, while the S&P 500 and the Nasdaq Composite rose 0.4 percent and 0.2 percent, respectively. Market volatility remained elevated, with the CBOE Volatility Index, often called Wall Street’s fear gauge, hovering around 23.
Investor anxiety was exacerbated after the latest data pointed to economic weakness. The Institute for Supply Management’s manufacturing survey showed contraction, falling short of expectations, while job openings for February came in slightly below forecasts, according to the Bureau of Labor Statistics.
A key source of uncertainty is the White House’s expected tariff announcement on Wednesday, which could impose reciprocal levies on goods from nearly all countries. Hopes had been pinned on a more selective approach, but a fresh report from The Washington Post suggests the administration may be considering a broad 20 percent tariff on most imports.
The uncertainty has sent stocks on a turbulent ride. The S&P 500 hit a six-month low on Monday before rebounding, with the first quarter still ended in the red. The S&P 500 declined 4.6 percent, while the Nasdaq Composite plunged 10 percent—marking their worst quarterly performance since 2022. The Dow dropped 1.3 percent over the same period.
Meanwhile, airlines took a hit as Jefferies downgraded Delta Air Lines and American Airlines to hold, citing macroeconomic uncertainty and subdued consumer and corporate sentiment. The two slipped 4.55 and 4 percent, respectively.
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