Stocks shrug off economic jitters to close higher

Wall Street Stocks Close Higher Despite Ongoing Economic Uncertainty

[NEW YORK] Wall Street stocks closed higher on Friday (Mar 21) after fluctuations, shaking off ongoing economic uncertainty, including those triggered by US President Donald Trump’s tariff plans – following his comments that these will contain some flexibility.

Market Performance

The Dow Jones Industrial Average added 0.1 per cent to 41,985.35, and the broad-based S&P 500 edged up 0.1 per cent as well to 5,667.56. The tech-focused Nasdaq Composite Index jumped 0.5 per cent to 17,784.05.

Analysis

"There is certainly some hesitation, as we still have a lot of the trade uncertainties ahead of us with the Apr 2 reciprocal tariff announcements," said Angelo Kourkafas of Edward Jones. On Apr 2, Trump has promised reciprocal levies tailored to each US trading partner, to remedy practices deemed unfair by Washington. However, the president told reporters on Friday that "there’ll be flexibility" in his plans, and markets appeared to react with some relief at day-end.

Company Performance

Among individual companies, shares in package delivery firm FedEx closed 6.5 per cent down after it lowered forecasts for this year, noting weakness and uncertainty in the US industrial economy. Athletic footwear and apparel giant Nike saw its shares fall by 5.5 per cent after earlier reporting a decline in quarterly revenues.

Conclusion

Despite the uncertainty surrounding trade tariffs, the markets seemed to react positively to President Trump’s comments on flexibility, with the Dow Jones and S&P 500 indices closing higher. However, investors remain cautious, with Kourkafas warning that "we don’t know what’s going to happen necessarily, how long it’s going to last, which could keep volatility elevated."

Frequently Asked Questions

Q: What was the market performance on Friday?
A: The Dow Jones Industrial Average added 0.1 per cent to 41,985.35, and the S&P 500 edged up 0.1 per cent to 5,667.56, while the Nasdaq Composite Index jumped 0.5 per cent to 17,784.05.

Q: What did President Trump say about the tariff plans?
A: President Trump told reporters on Friday that "there’ll be flexibility" in his plans for reciprocal tariffs.

Q: What is the concern about trade tariffs?
A: Investors are concerned about the uncertainty surrounding the trade tariffs, including the potential impact on global trade and the economy.

Q: Which companies experienced significant stock price changes?
A: FedEx and Nike were among the companies that experienced significant stock price changes, with FedEx closing 6.5 per cent down and Nike falling 5.5 per cent.