Stock Market Recap: March 17, 2025
On Monday, March 17, 2025, U.S. stock markets experienced a notable rebound, with major indices recovering from recent declines. Investors navigated a complex landscape of mixed economic data, corporate earnings reports, and geopolitical developments.
Key Indices Movement:
Dow Jones Industrial Average: The Dow Jones ETF (DIA) gained 0.9%.
S&P 500: The S&P 500 advanced 0.77%, reflecting cautious optimism among investors.
Nasdaq Composite: The tech-heavy Nasdaq Composite rose 0.3%, driven by gains in major technology stocks.
Top Gainers:
Intel Corporation (INTC): Shares of Intel jumped 6.82%, following reports of the new CEO's plans to overhaul manufacturing and AI operations.
Netflix Inc. (NFLX): The streaming giant's stock climbed 3.5% to $950.25, buoyed by an analyst upgrade and positive subscriber growth forecasts.
Alibaba Group Holding Ltd. (BABA): Alibaba's shares increased by 4.6% to $147.57, reflecting investor optimism about its international expansion strategies.
Tesla Inc. (TSLA):
In contrast to the broader market's upward trajectory, Tesla's stock declined by 4.8% to $238.05. Several factors contributed to this downturn.
Analyst Downgrade: Mizuho analysts lowered their price target for Tesla from $515 to $430, citing weakening demand and challenges in key markets, including China and Europe.
Product Issues: Reports emerged that Tesla halted deliveries of its Cybertruck due to adhesive failures causing vehicle panels to detach, raising concerns about production quality.
Public Protests: Over the weekend, protests erupted at Tesla dealerships across the U.S., reflecting growing public dissent against CEO Elon Musk's political affiliations and business practices.
Major Earnings Reports:
Qifu Technology (QFIN): The company reported quarterly earnings per share of $1.68 on revenue of $597.66 million, aligning with analyst expectations.
LanzaTech Global (LNZA): LanzaTech reported a quarterly loss of $0.14 per share on revenue of $23.55 million, reflecting ongoing investments in sustainable energy solutions.
Science Applications International Corp. (SAIC): The government technology contractor posted an adjusted EPS of $2.57 for Q4 of fiscal 2025, an 80% increase year-over-year, surpassing analyst expectations. Revenues of $1.84 billion also slightly exceeded estimates.
Notable Industry News:
Retail Sales: U.S. retail sales rose by a modest 0.2% in February, indicating cautious consumer spending amid economic uncertainties.
Trade Policies: President Trump's tariffs on imports from Mexico and Canada have raised concerns among companies like Reckitt Benckiser, which may face higher costs or need to raise prices in the U.S. due to their exposure to these tariffs.
Federal Reserve Outlook: Investors are closely monitoring the upcoming Federal Reserve meeting, with expectations that interest rates will remain unchanged at 4.25% to 4.5%. The Fed's quarterly economic projections and "dot plot" will be scrutinized for insights into future monetary policy.
