On March 7, 2025, U.S. stock markets faced notable downturns, with the Dow Jones Industrial Average falling 1% to 42,579.08, the Nasdaq Composite dropping 2.6% to 18,069.26, and the S&P 500 decreasing 1.8% to 5,738.52. The technology sector was particularly impacted, with the Technology Select Sector SPDR (XLK) declining 2.8%. This downturn was largely attributed to President Trump's unpredictable trade policies, which heightened market uncertainty. The CBOE Volatility Index (VIX) rose 13.4% to 24.87, indicating increased investor apprehension. nasdaq.com
In the technology sector, companies like Tesla and NVIDIA saw significant declines, with shares plunging 5.6% and 5.7%, respectively. This was due to concerns over the potential impact of tariffs on international trade and corporate earnings. The Federal Reserve's cautious stance, as expressed by Chair Jerome Powell, added to the market's volatility. Investors are advised to monitor ongoing trade negotiations and economic indicators closely, as these factors will likely influence market performance in the near future. nasdaq.com