Wall Street Indexes On Rollercoaster Ride Amid U.S. Trade Policy

Barry Adams
01 Apr, 2025
New York City

Wall Street indexes remained under pressure on the first day of trading of the new quarter as investors awaited clarity on U.S. trade policy. 

The S&P 500 index decreased 0.3%, and the Nasdaq Composite fell 0.4%, following a day of wild swings in Monday's trading on Wall Street. 

Market sentiment has been cautious amid the Trump administration's chaotic introduction of an import tax and confusion surrounding Donald Trump's constant flip-flops and wild threats to key trading partners. 

Economic growth in the first quarter is likely to slow down sharply to close to zero after the Trump administration pursued a policy of an import tax covering nearly $3.3 trillion of imports. 

The dramatic expansion and the use of tariffs are causing worldwide reactions, and the import tax is expected to fuel inflation and slow down economic growth. 

Moreover, businesses are freezing or delaying investment plans amid tariff confusion, which is raising risks of recession in the third quarter and after. 

The Trump administration is scheduled to announce the scope and details of the import tax and implementation plan starting April 2. 

The Trump administration is looking to raise as much as $600 billion in annual revenue from new import taxes, sharply higher than the current $77 billion in annual revenue.  

 

U.S. Movers 

PVH Corp. surged 16.2% to $75.12 after the parent company of the Calvin Klein and Tommy Hilfiger brands reported results for the fourth quarter of 2024.

Revenue declined to $2.37 billion from $2.49 billion, net income edged down to $157.2 million from $271.8 million, and diluted earnings per share fell to $2.83 from $4.55 a year ago.

The company announced $500 million in share repurchases in 2025 after completing approximately $500 million in stock repurchases during 2024.

Johnson & Johnson dropped 4% to $159.14 after the U.S. bankruptcy judge disapproved the company's $10 billion settlement proposal. 

The proposed settlement covered thousands of lawsuits covering its baby powder and other talc products that caused ovarian cancer. 

Progress Software Corp. jumped 7.5% to $55.35 after the business application software company's quarterly results surpassed market expectations. 

The company's guidance for adjusted earnings for the full year also exceeded market expectations.