Tesla (TSLA) +2% Tesla shares bounced after a rough Monday, despite being down 36% in Q1 — the worst Q1 in company history. Investors are now eyeing its Q1 delivery report due Wednesday, with Street estimates hovering around 380,000 units . Analysts have been revising expectations lower amid backlash over Elon Musk’s role in Trump’s administration. Chinese EV Makers Up XPeng (XPEV) +1.6% : Delivered 33,205 vehicles in March — its fifth straight 30k+ month. NIO (NIO) +1.6% and Li Auto (LI) +1.4% also gained on strong March deliveries. Nvidia (NVDA) -0.6% Still under pressure after a 19.3% Q1 drop , its worst since 2022. Investor worries over AI spending, tech valuation, and trade tensions are weighing heavily. Johnson & Johnson (JNJ) -5% Fell after a Texas judge dismissed J&J’s third bankruptcy attempt to settle talc-related lawsuits via Chapter 11. PVH Corp (PVH) +18.9% Shares surged after Q4 earnings beat expectations ...
Asian equities experienced a broad pullback on Thursday as investors reacted to President Donald Trump's latest trade announcement, which included new tariffs on auto imports. This news heightened global trade concerns, especially regarding growth in the world’s largest economy, leading to a risk-off sentiment across the region.
Key Points:
Tariff Impact on Automakers: Trump’s move to impose a 25% tariff on imported cars has triggered sharp declines in automaker stocks, including major companies like Toyota, General Motors, and Ford. The new tariffs, set to take effect on April 2, are expected to raise car prices by up to $10,000, further denting investor confidence.
Market Reactions: The regional equity index dropped as much as 0.6%, with Japan’s Nikkei falling by 1.2%, Australia’s S&P/ASX 200 down by 0.5%, and China’s Shanghai Composite seeing a slight uptick of 0.7%. Meanwhile, Hong Kong stocks bucked the trend with a 1.6% rise.
Volatility and Liquidity: The uncertainty around the scope of Trump's tariffs has created volatility, especially in US markets. Liquidity in the S&P 500 stock-index futures is at a two-year low, reflecting investor caution as they await further clarity on the global trade landscape.
US Economic Outlook: The Federal Reserve remains cautious, with some officials indicating that the economic effects of the tariffs may not be temporary, potentially influencing future interest rate decisions. While a US recession is not predicted, the increased tariff risks have led to fears of a slowdown.
Commodities: In commodities, oil prices held gains as US crude inventories saw a significant decline. Gold prices stabilized near record highs as investors sought safe-haven assets amid the uncertainty.
The broad market declines reflect growing concerns about the global economic impact of Trump's tariffs and their potential to escalate trade tensions further. Investors are now closely watching how this situation unfolds, with more tariffs expected to be announced next week, adding to the uncertainty.
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