On Wall Street, the S&P 500 index rose for the sixth consecutive day on Tuesday, thanks to strong corporate earnings results, although trading was cautious due to a lack of new developments on the trade front between the U.S. and China.
The Dow Jones index strengthened by 0.75 percent, to 40,527 points, while the S&P 500 rose by 0.58 percent, to 5,560 points, and the Nasdaq index increased by 0.55 percent, to 17,461 points. The rise of the S&P 500 index for the sixth consecutive day is attributed to better-than-expected quarterly earnings results from most companies within the index.
However, trading was cautious as many companies lowered their forecasts for future performance or did not provide them due to the uncertainty prevailing in the market since U.S. President Donald Trump imposed reciprocal tariffs on April 2.
The focus remains primarily on the trade war between the U.S. and China, with no significant new developments from that front. Washington, however, indicates that negotiations with other countries regarding tariffs are progressing well. Nonetheless, a major question remains regarding how the introduction of tariffs will impact the U.S. and other economies.
Data released yesterday shows that the U.S. trade deficit in goods with the world reached record levels in March due to increased imports ahead of the introduction of tariffs. The Conference Board report indicated that consumer confidence fell to its lowest level since 2020, while data on new job openings showed that the labor market remains stable. New economic data will be released in the coming days, including information on gross domestic product, employment, and inflation in the U.S.
– Many economic indicators will be unclear, and in the next month or two, it will be difficult to interpret the data regarding the impact of tariffs. Companies most affected by tariffs are either lowering their forecasts for future performance or not providing them at all,” explains Anthony Saglimbene, a strategist at Ameriprise Financial.
