Trump's Tariff Threat Sends U.S. Stocks Plunging

March 11, 2025, President Trump's indication of potential tariff increases beyond 25% on imports has heightened trade tensions, particularly impacting the U.S. stock market. The anticipation of further tariffs has created uncertainty and put pressure on market indices, contributing to declines in the S&P 500, Dow Jones, and Nasdaq. The U.S. administration's decision to implement a 25% tariff on steel and aluminum imports is a significant factor influencing the stock market. This move affects various industries reliant on these metals, adding to market volatility and contributing to the downward trend in major indices. On this day, the S&P 500 index fell by 0.76%, the Dow Jones index dropped by 1.14%, and the Nasdaq index declined by 0.18%.

The market saw a mixed performance across various sectors, with several key industries underperforming the S&P 500. The Utilities sector, Healthcare industry, Energy sector, Communication Services industry, Materials sector, Industrials sector, Real Estate industry, Financials sector, and Consumer Staples industry all lagged behind the broader market index. This indicates a challenging day for these sectors, which may have been influenced by various factors such as economic indicators, company earnings reports, or broader market trends.

Netflix shares rose 3.28% as the company's earnings surged 61.1%, outperforming both the entertainment industry average and the broader market. Broadcom's stock climbed 3.06% following an 8% surge in Q1'25 earnings, driven by strong growth in AI chips and new partnerships with hyperscalers. Tesla's shares increased 3.79%, buoyed by the company's significant investments in AI and autonomous technology. Alibaba Group's stock rose 4.89% after Benchmark lifted their price target and gave it a "buy" rating.

Raytech Holding surged over 94%, driven by a successful $7 million IPO, reflecting strong investor interest and potential growth. Meanwhile, 2seventy bio rose nearly 77%, boosted by Bristol Myers Squibb's acquisition at an 88% premium, which has significantly increased investor confidence. On the other hand, Wellchange experienced a sharp decline of over 71%, facing bearish trends and market indecisiveness amidst high volatility. Arvinas also saw a significant drop of over 52%, hitting an all-time low after disappointing results from a breast cancer drug trial with Pfizer.

The U.S. House has passed a spending bill aimed at preventing a government shutdown, moving it to the Senate for approval. Meanwhile, Donald Trump has announced plans to increase tariffs on Canadian steel and aluminum imports to 50%, escalating trade tensions between the U.S. and Canada. Additionally, the U.S. stock market experienced a downturn, with the Dow Jones Industrial Average dropping over 1%, raising investor concerns about potential economic headwinds. In the corporate sector, Microsoft announced a quarterly dividend increase and a new $60 billion share repurchase program, reflecting confidence in its financial performance and future growth prospects.