Stock Market News Brief – March 18, 2025
U.S. stocks closed lower today, snapping a two-day rebound as investors grew cautious ahead of the Federal Reserve’s latest monetary policy decision. The Dow Jones Industrial Average fell by approximately 350 points, a decline of 0.85%, ending at 41,491.63. The S&P 500 dropped 0.64% to 5,638.94, while the Nasdaq Composite saw a steeper loss of 1.71%, closing at 17,504.12. The downturn was driven largely by a sell-off in technology stocks, with Tesla sliding 5.34% after a brokerage downgrade and Nvidia falling 3.4% despite unveiling new AI initiatives.
Market sentiment was further dampened by uncertainty surrounding President Donald Trump’s tariff policies and their potential economic impact, as well as rising import prices that hinted at persistent inflation pressures. Gold prices surged to record highs, reflecting a flight to safety, while the 10-year U.S. Treasury yield edged down slightly to 4.30%. Across the Atlantic, European markets showed resilience, with the STOXX 600 index rising 0.61%. As the Fed began its two-day meeting, investors awaited signals on interest rates and economic outlook amidst a backdrop of global economic uncertainty.