Wall Street’s leading indices, the S&P 500 and Dow Jones Industrial Average, edged higher on Monday, kicking off March on a decent note, as investors balanced optimism in riskier assets against concerns over looming trade tariffs.
The S&P 500 rose 0.4 percent, while the Dow Jones Industrial Average added 174 points, or 0.4 percent. The Nasdaq Composite struggled for direction, weighed down by a sharp 4.67 percent drop in Nvidia, which tempered gains elsewhere in the technology sector. Teslaboostedo, the broader market, climbed more than 3 percent after Morgan Stanley predicted a potential 50 percent rebound. Palantir, another retail investor favorite, surged over 5 percent. Southwest Airlines shares slipped 1 percent after JPMorgan downgraded the airline to underweight from neutral. It stated that the stock’s value was stretched, and Southwest’s peak days for margins and return on invested capital were behind it.
Cryptocurrencies also recovered sharply when former US President Donald Trump promised a strategic crypto reserve for the country, comprising bitcoin and ether. Bitcoin jumped 10% to around $94,000 after dipping below $80,000 on Friday. Shares of cryptocurrency companies such as Coinbase, Robinhood, and MicroStrategy followed suit, registering significant rises. Despite the market’s risk-on mindset, investors remained cautious about looming trade measures. Trump is poised to put tariffs on key trade partners this week, causing market instability and raising fears about inflation.
Meanwhile, Treasury Secretary Scott Bessent stated in a televised interview that Mexico has proposed replicating US duties on China, presumably as a negotiation tool to prevent its penalties, which are slated to go into force Tuesday.
Monday began a new trading month after a poor February, with all three leading indices closing down. The Nasdaq Composite was the most significant loser, falling 4%—its worst monthly performance since April 2024. Investors are now focusing on criticallaborr market statistics, including the February employment report, which is coming on Friday and might provide new indications about the economy’s future.
