Tuesday Afternoon Coffee - Markets Update - 25 Mar 2025 - Stocks Edge Higher, Dollar Slips as Tariff Uncertainty Keeps Markets Cautious

Markets Update: U.S. stocks remain steady following Monday's rally. The dollar declines from a three-week peak. German business sentiment shows improvement. Commodities show mixed results as traders consider tariffs and geopolitical factors.

Global Markets Roundup: 25 March 2025

U.S. stocks fluctuated on Tuesday, edging up during a volatile session as investors considered new indications of tariff uncertainty and mixed economic data. The dollar retreated from a three-week peak, while bond yields declined and commodity markets responded to changes in global trade and geopolitical events.

Markets Take a Breather After Monday’s Rally

After surging on hopes the Trump administration may take a softer stance on tariffs, stocks moved cautiously on Tuesday. President Donald Trump signaled Monday that not all levies would go into effect on April 2, offering possible exemptions for some countries and sectors.

A drop in U.S. consumer confidence added to the hesitation. The Conference Board’s index fell to 92.9 in March, down from 100.1 in February and below the 94.0 forecast, as expectations for the future slumped sharply.

U.S. Stock Performance

• Dow Jones Industrial Average: -16.74 points (-0.05%) to 42,566.58

• S&P 500: +0.94 points (+0.02%) to 5,768.62

• Nasdaq Composite: +34.72 points (+0.19%) to 18,223.91

Global Markets and Sentiment

The MSCI All-Country World Index rose 0.14% to 852.96, while the pan-European STOXX 600 climbed 0.67%, supported by upbeat business sentiment in Germany. The IFO survey showed German business morale improved in March, with a notable rebound in expectations.

Equities have started to stabilize after weeks of pressure stemming from tariff fears and concerns about global growth and corporate profitability.

Dollar Slips, Treasury Yields Ease

The U.S. dollar index DXY slipped 0.2% to 104.09, retreating after touching a three-week high of 104.46.

• EURUSD +0.07% to $1.0808

• USD/JPY: -0.64% to 149.74

• GBP/USD: +0.32% to $1.2962

• USD/TRY: +1.63% to 37.989, after Turkish opposition leader Ekrem Imamoglu was jailed, sparking nationwide protests

Treasuries edged higher as investors digested Fed commentary and weighed the longer-term impact of tariffs on inflation and policy.

• 10-year yield: -2.7 bps to 4.304%

• 2-year yield: lower after $69 billion auction

Commodities: Oil Slips, Gold Resilient, Coffee Climbs

Crude prices dipped after the U.S. brokered agreements with Ukraine and Russia to avoid targeting energy infrastructure in the Black Sea.

• WTI: -0.33% to $68.88/bbl

• Brent: -0.14% to $72.90/bbl

Gold futures showed resilience, holding near record highs:

• Gold: +0.4% to $3,026.70/oz

• Silver: +2.22% to $34.00/oz

• Copper: +2.35% to $5.183/lb

Soft Commodities Mixed

• Arabica coffee (May): +1.31%

• Robusta coffee (May): +1.64%, hitting a 2½-week high on weather concerns in Brazil and Vietnam

• Cocoa: Lower on favorable West Africa weather

• NY cocoa (May): -1.04%

• London cocoa (May): -2.03%

Grains Drift Lower

Grain futures eased as markets focused on export prospects and weather-driven supply dynamics:

• Wheat: -6¼ cents to $5.53/bushel, lowest since March 5

• Soybeans: -8 cents to $9.99¼/bushel, lowest since March 12

• Corn: -6½ cents to $4.58/bushel

Looking forward refer to the economic calendar below to see the upcoming events scheduled for today and the rest of the week.

General news - Information source from multiple newswires.

The article and the data is for general information use only, not advice!

The Trade Academy Team