US Stocks Climb as Investors Juggle Economic Data and Trump Policies

By Chuck Mikolajczak

NEW YORK (gudangmovies21) – U.S. stocks rose amid volatile trade on Monday, following four consecutive weeks of losses for both the Nasdaq and S&P 500 indices. Investors evaluated recent economic reports to determine how they reflect the effects of President Donald Trump’s policy initiatives.

Retail sales rebounded marginally in February, but fell short of expectations, reflecting the increasing uncertainty over tariffs and large-scale firing of federal government employees. A separate report showed factory activity in New York State plummeted this month by the most in nearly two years.

"The only signs of a bounceback in spending from January's weather-induced slump, and stocking up ahead of tariffs, was in online spending," said Brian Jacobsen, chief economist at Annex Wealth Management in Menomonee Falls, Wisconsin.

Mood frequently fails as an accurate indicator of expenditure, yet the positive feelings that sustained consumer spending are now merely a thing of the past.

The Dow Jones Industrial Average rose 375.48 points, or 0.91%, to 41,864.81, the S&P 500 gained 38.96 points, or 0.69%, to 5,677.90 and the Nasdaq Composite gained 58.65 points, or 0.33%, to 17,812.74.

In addition, U.S. homebuilder sentiment dropped to a seven-month low in March as tariffs on imported materials raised construction costs.

The data came ahead of the Federal Reserve's meeting on Wednesday, in which it is widely expected to keep rates unchanged, according to CME's FedWatch Tool.

Fed officials will also announce economic projections with their policy statement, giving the most tangible evidence yet of how U.S. central bankers view the likely impact of Trump administration policies that have clouded a previously solid economic outlook.

Recently, stock prices have declined significantly, with the S&P 500 falling over 10% below its peak set in February, which is often referred to as entering a correction phase. However, the markets saw an upturn on Friday when investors started purchasing stocks they believe might perform well following President Trump’s policy initiatives.

The blue-chip Dow index was just above 3% shy of entering a correction following its recent advances over the last couple of days.

Almost all of the 11 key S&P sectors saw gains, with consumer discretionary—the weakest performer for the year—being the only sector in decline during the session.

During the weekend, Treasury Secretary Scott Bessent cautioned in an interview that there are "no certainties" the U.S. will avoid a downturn in the economy.

Tesla shares dropped almost 5% following a downgrade by brokerage firm Mizuho, which reduced its price target for the company’s stock to $430 from $515. This adjustment reflects a decline of over 40% in Tesla's stock value for the year so far.

Shares of quantum computing companies like D-Wave Quantum and Quantum Corp surged approximately 9% and 26%, respectively, following the commencement of Nvidia’s yearly conference focused on AI chips.

Intel gained 7.4% following reports from gudangmovies21 that incoming CEO Lip-Bu Tan is contemplating substantial alterations to the company’s chip fabrication processes and AI tactics.

The number of advancing issues surpassed declining ones with a ratio of 4.29 to 1 on the NYSE and 2.22 to 1 on the Nasdaq.

The S&P 500 saw nine fresh peaks for the year along with one trough, whereas the Nasdaq Composite noted 36 high points and 103 lower ones within the same period.

(Reporting by Chuck Mikolajczak)