Wall Street closed mixed on Friday, with the S&P 500 managing to break a four-week losing streak despite persistent concerns over tariffs, economic uncertainty, and tech sector weakness.
The market remained volatile throughout the session as investors digested President Donald Trump’s latest remarks on reciprocal tariffs and awaited the Federal Reserve’s next moves.
The S&P 500 edged up 0.08% to close at 5,667.56, posting a 0.5% weekly gain—its first in over a month.
The Nasdaq Composite rose 0.52% to 17,784.05, while the Dow Jones Industrial Average added 32.03 points or 0.08%, finishing at 41,985.35.
Market participants navigated a choppy session, driven by the quarterly “quadruple witching” event, where stock options, index options, futures, and single-stock futures contracts expired.
Goldman Sachs estimated that over $4.7 trillion worth of options exposure was set to expire, adding to the session’s volatility.
Tariff uncertainty looms over Wall Street
Stocks attempted a recovery late in the session after President Donald Trump signaled some “flexibility” on tariffs but reiterated that all trading partners imposing duties on US goods would face reciprocal tariffs starting April 2.
“There will be flexibility.”
US President Donald Trump on the subject of tariffs.
📺 Sky 501 and YouTube
Michael Green, chief strategist at Simplify Asset Management, noted that business uncertainty stemming from trade policy has started affecting capital spending and hiring decisions, which in turn is weighing on investor sentiment.
“There’s growing hesitation among companies to make big financial commitments,” Green said. “Markets are reflecting that uncertainty, particularly as we head toward the April 2 deadline.”
Tech stocks continue to slump
The technology sector was the worst-performing segment of the S&P 500 this week, down 0.8%, marking its fifth consecutive weekly decline—a streak not seen since May 2022.
Semiconductor stocks, which had been market leaders in 2023, saw significant losses:
- Nvidia (NVDA) fell as chip demand cooled.
- Micron (MU) and Applied Materials (AMAT) declined amid supply chain concerns.
- Accenture (ACN) also saw selling pressure, pulling the sector lower.
Concerns over slowing consumer spending and industrial activity were reinforced by weak earnings updates from key bellwethers.
- FedEx (FDX) tumbled 6.5% after cutting its earnings outlook, citing weakness in the US industrial economy.
- Nike (NKE) dropped over 5% after warning that consumer confidence and tariff-related costs could weigh on sales.
Stocks hitting 52-week lows signal economic stress
A number of consumer and transportation stocks touched 52-week lows on Friday, reflecting concerns over economic momentum.
- Nike (NKE): Lowest level since March 2020
- Target (TGT): Lowest level since April 2020
- Host Hotels (HST): Lowest level since February 2021
- Ross Stores (ROST): Lowest level since November 2023
In the transportation sector, the downturn was equally sharp:
- FedEx (FDX) hit levels last seen in June 2023
- JB Hunt (JBHT) fell to February 2021 levels
- Old Dominion Freight Line (ODFL) also slid to a yearly low
Will tariff anxiety cap stock gains?
Analysts at Barclays caution that until there is clarity on tariffs, the market’s upside may remain capped.
“Stocks have rebounded slightly from oversold levels, but tariff uncertainty remains a major overhang,” said Emmanuel Cau, head of European equity strategy at Barclays.
With the April 2 tariff deadline approaching, investors are closely watching for any policy shifts that could determine the market’s next direction.
Meanwhile, the Federal Reserve’s stance on interest rates and corporate earnings results will continue to play a critical role in shaping sentiment.
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