- S&P 500 & Nasdaq down while Trump pressures Fed and Powell
- S&P 500 -2.85% for the day, -5.69% for the week
- Nasdaq -3% for the day and -7.25% for the week
- Nvidia -5.42% for the day and -15.88% for 5 days
- Tesla -6.58% and -12.79% respectively
- Microsoft, Apple, Google, Amazon, Meta, and others are also falling
- Trade war and China’s statements have intensified capital outflows
Tesla, Nvidia, and other tech giants pull indexes down, S&P 500 & Nasdaq decline while Trump pressures Fed and Powell, perhaps confirming the theory that a series of micro crises is necessary to accelerate interest rate cuts.
Also, the escalating trade war with China is fueling this all the more, with constantly changing statements, and a recent one that China firmly opposes any party reaching a deal at the expense of China’s interests.
More on the Continued Decline of Tech Giants and Major Indexes
Another red Monday for the stock markets, particularly as we saw both the S&P 500 and Nasdaq decline amid ongoing economic and political uncertainty. Major tech companies, in particular, experienced the steepest losses, dragging down the indexes.
Nvidia and Tesla were hit hardest, with –5.42% and –6.58% respectively in just 24 hours. Over the last 5 days, the numbers look even worse across almost all companies, specifically:
- Nvidia –15.95%
- Tesla –12.95%
- Apple –9.62%
- Amazon –10.86%
- Meta –13.26%
- AMD –13.24%
- Broadcom –11.60%
- Microsoft –8.91%
- Google –8.32%
This resulted in the S&P 500 falling by 2.85% over the past 24 hours and by 5.69% over the last week.
Nasdaq also dropped by 2.95% in the past 24 hours and by 7.25% over the week.
Same Reasons Behind the Market Downturn
Uncertainty is making markets highly volatile—not just stocks but also key cryptocurrencies like Bitcoin. Find out why this is critical and how it could turn out to be an opportunity.
Markets had recently rallied following statements from Trump regarding a potential trade agreement between the US and China.
But now we’re seeing a reversal, and the new signals are far from reassuring:
China’s Commerce Ministry said:
“China firmly opposes any party reaching a deal at the expense of China’s interests. If this happens, China will never accept it and will resolutely take countermeasures in a reciprocal manner. China is determined and capable of safeguarding its own rights and interests. Appeasement will not bring peace, and compromise will not be respected.”
Meanwhile, internal tensions persist in the US, and Donald Trump continues to pressure Fed Chairman Jerome Powell to lower interest rates without delay, even insulting him to a degree while citing rate cuts in Europe.
“‘Preemptive Cuts’ in Interest Rates are being called for by many. With Energy Costs way down, food prices (including Biden’s egg disaster!) substantially lower, and most other “things” trending down, there is virtually No Inflation. With these costs trending so nicely downward, just what I predicted they would do, there can almost be no inflation, but there can be a SLOWING of the economy unless Mr. Too Late, a major loser, lowers interest rates, NOW. Europe has already “lowered” seven times. Powell has always been “To Late,” except when it came to the Election period when he lowered in order to help Sleepy Joe Biden, later Kamala, get elected. How did that work out?”
Conclusion
In general, nothing fundamentally new—just a further escalation. Markets are falling again, and now more sharply. The trade war with China is also intensifying, while Trump’s pressure on Jerome Powell and the strong push to lower interest rates as soon as possible is becoming increasingly visible.
We will be closely monitoring further developments, hoping that both the US and the global economy can withstand these kinds of initiatives. Stay tuned for updates, and be adaptive in the rapidly evolving technology, blockchain, and crypto landscape.
