U.S. stocks experienced a downturn in April 2025, influenced by concerning economic reports suggesting a potential contraction. This decline occurred amidst President Trump's tariff policies, impacting market sentiment.
On April 30, 2025, the S&P 500 was down 1.5% in morning trading. The Dow Jones Industrial Average decreased by 469 points, or 1.2%, while the Nasdaq composite dropped 1.9%, particularly affected by declines in AI stocks like Super Micro Computer. The 10-year Treasury yield fell to 4.18%.
Key Factors Contributing to the Decline
Economic data revealed weaker-than-expected growth, raising concerns about a potential recession due to Trump's trade war. Super Micro Computer's stock plummeted 16.6% after a sales and profit forecast cut, while Nvidia fell 2.7%. These factors contributed to a mixed performance in global stock markets.
Investors are closely monitoring economic indicators and trade developments for future market direction. The market's focus remains on how the U.S. economy will navigate trade tensions and policy uncertainties throughout 2025.