On Thursday, the S&P 500 Index closed down 0.54%, while the Dow Jones Industrial Average saw a slight increase of 0.03%, and the Nasdaq 100 Index fell by 1.16%. This market activity mirrored a decline in March E-mini S&P futures and Nasdaq futures by 0.56% and 1.22%, respectively. Despite Nvidia reporting strong earnings exceeding estimates, the company’s stock dropped over 5% due to concerns about the demand for AI infrastructure amid geopolitical risks involving China.
In economic news, U.S. weekly initial unemployment claims rose by 4,000 to 212,000, better than the expected 216,000, indicating a stronger labor market. Chicago Fed President Alan Goolsbee stated that the U.S. economy remains solid, potentially allowing for future interest rate cuts if inflation decreases. The focus now shifts to upcoming corporate earnings and economic indicators, including a projected decline in the MNI Chicago PMI from 54.0 to 52.2.
Globally, stock markets exhibited mixed results, with the Euro Stoxx 50 dropping 0.19% and Japan’s Nikkei 225 rising 0.29%. Additionally, the 10-year U.S. Treasury yield fell to 4.016%, reflecting safe-haven demand due to the stock market’s turbulence.
